Revenue growth remains inconsistent, fluctuating between 2.6% and 18.5% over the last ten quarters, while operating margins frequently dip into negative territory, reaching -23.1% in 2024Q4.
| Sales/Revenue | 1.29B | 1.2B | 1.14B | 976M | 560.55M | 384.38M | 642.03M | 575.96M |
| Revenue Growth % | 8.2% | 5.98% | 16.38% | 74.11% | 45.83% | -40.13% | 11.47% | - |
| Cost of Goods Sold | 628.8M | 638.34M | 589.36M | 530.73M | 308.84M | 220.04M | 581.58M | 507.09M |
| COGS % of Revenue | - | 53.03% | 51.89% | 54.38% | 55.1% | 57.25% | 90.58% | 88.04% |
| Gross Profit | 660.17M | 565.47M | 546.52M | 445.27M | 251.71M | 164.34M | 60.46M | 68.87M |
| Gross Margin % | 51.22% | 46.97% | 48.11% | 45.62% | 44.9% | 42.75% | 9.42% | 11.96% |
| Gross Profit Growth % | - | 3.47% | 22.74% | 76.9% | 53.17% | 171.83% | -12.22% | - |
| Operating Expenses | 642.22M | 635.51M | 569.52M | 596.31M | 439.74M | 319.07M | 98.94M | 82.77M |
| OpEx % of Revenue | - | 52.79% | 50.14% | 61.1% | 78.45% | 83.01% | 15.41% | 14.37% |
| Selling, General & Admin | 219.46M | 168.94M | 163.81M | 151.12M | 116.04M | 77.57M | 98.94M | 82.77M |
| SG&A % of Revenue | - | 14.03% | 14.42% | 15.48% | 20.7% | 20.18% | 15.41% | 14.37% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 4M | 466.57M | 405.71M | 445.2M | 323.7M | 241.5M | 0 | 0 |
| Operating Income | 17.95M | -70.04M | -23M | -151.04M | -188.03M | -154.73M | -38.49M | -13.9M |
| Operating Margin % | 1.39% | -5.82% | -2.03% | -15.48% | -33.54% | -40.25% | -5.99% | -2.41% |
| Operating Income Growth % | - | -204.49% | 84.77% | 19.67% | -21.52% | -302.03% | -176.94% | - |
| EBITDA | 116.89M | 31.48M | 88.4M | -51.12M | -104.41M | -84.93M | 18.65M | 34.49M |
| EBITDA Margin % | 9.07% | 2.61% | 7.78% | -5.24% | -18.63% | -22.1% | 2.91% | 5.99% |
| EBITDA Growth % | 25.55% | -64.39% | 272.91% | 51.04% | -22.94% | -555.33% | -45.92% | - |
| D&A (Non-Cash Add-back) | 98.93M | 101.52M | 111.4M | 99.92M | 83.61M | 69.8M | 57.14M | 48.39M |
| EBIT | 42.81M | -66.72M | -25.42M | -146.71M | -183.44M | -158.26M | -59.42M | -32.1M |
| Net Interest Income | -87.29M | -83.53M | -84.14M | -71.5M | -84.38M | -77.79M | -64.11M | -57.7M |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 87.29M | 83.53M | 84.14M | 71.5M | 84.38M | 77.79M | 64.11M | 57.7M |
| Other Income/Expense | -62.43M | -80.21M | -83.27M | -67.19M | -79.79M | -81.32M | -64.67M | -57.42M |
| Pretax Income | -44.48M | -150.25M | -106.28M | -218.23M | -267.82M | -236.05M | -123.53M | -89.8M |
| Pretax Margin % | -3.45% | -12.48% | -9.36% | -22.36% | -47.78% | -61.41% | -19.24% | -15.59% |
| Income Tax | 33.12M | 13.32M | 10.81M | 5.13M | 894K | -776K | 4.47M | 43K |
| Effective Tax Rate % | -74.46% | -8.86% | -10.17% | -2.35% | -0.33% | 0.33% | -3.62% | -0.05% |
| Net Income | -77.34M | -162.97M | -117.95M | -224.16M | -265.39M | -228.46M | -127.74M | -91.36M |
| Net Margin % | -6% | -13.54% | -10.38% | -22.97% | -47.35% | -59.44% | -19.9% | -15.86% |
| Net Income Growth % | 41.52% | -38.16% | 47.38% | 15.54% | -16.17% | -78.85% | -39.83% | - |
| Net Income (Continuing) | -77.59M | -163.57M | -117.09M | -223.36M | -268.71M | -235.28M | -128M | -89.85M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 2.72M | 5.6M | 7.74M | 7.06M | 6.06M | 58.43M | 35.65M | 50.34M |
| EPS (Diluted) | -0.40 | -0.83 | -0.60 | -1.10 | -1.88 | -1.15 | -0.62 | -0.44 |
| EPS Growth % | 43% | -38.33% | 45.45% | 41.49% | -63.48% | -85.48% | -40.91% | - |
| EPS (Basic) | - | -0.83 | -0.60 | -1.10 | -1.88 | -1.15 | -0.62 | -0.44 |
| Diluted Shares Outstanding | 195.24M | 195.16M | 195.59M | 199.99M | 173.69M | 201.96M | 205.42M | 205.42M |
| Basic Shares Outstanding | 195.24M | 195.16M | 195.59M | 199.99M | 173.69M | 201.96M | 205.42M | 205.42M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - |
Persistent operating margin volatility
According to recent quarterly filings, Soho House & Co Inc. reported revenue growth of 11.2% in 2025Q3, yet the historical trend remains inconsistent, fluctuating between 2.6% and 18.5% over the last ten quarters, suggesting that organic expansion efforts face significant headwinds in scaling the membership model effectively.
The erratic revenue trajectory indicates that the company struggles to maintain a steady cadence of growth, likely due to the inherent difficulty in balancing new house openings with existing member retention. Investors should monitor whether the recent uptick in growth is sustainable or merely a reflection of aggressive pricing adjustments rather than genuine expansion of the member base.
As reported in financial statements, gross margins have oscillated significantly from a low of 41.9% to a peak of 64.9% in 2025Q3, highlighting a lack of structural cost predictability that complicates the company's ability to achieve consistent profitability across its global portfolio of physical locations.
The wide variance in gross margins suggests that the company's cost base is highly sensitive to operational inefficiencies or seasonal fluctuations in food and beverage demand. This instability implies that the business model may lack the necessary pricing power to offset rising labor and maintenance costs, leaving margins vulnerable to external economic pressures.
Based on the provided income statement data, operating margins have frequently dipped into negative territory, reaching -23.1% in 2024Q4, which suggests that the company has yet to demonstrate the ability to scale its corporate overhead efficiently relative to the growth in its gross profit.
The failure of operating income to consistently outpace gross profit growth indicates that the company's expansion strategy is currently capital-intensive and potentially inefficient. This trend warrants further investigation into whether the corporate structure is bloated or if the costs of maintaining the 'Soho House' brand experience are fundamentally incompatible with traditional operating leverage.
As evidenced by the erratic net income figures, which swung from a $175.0K profit in 2024Q3 to a $91.7M loss in 2024Q4, the company's bottom-line performance appears highly susceptible to non-operating items and significant quarterly fluctuations that undermine the reliability of reported earnings as a measure of core health.
The frequent shifts between profitability and substantial losses suggest that the company's earnings quality is low, likely impacted by irregular expenses or accounting adjustments. Investors should be cautious of relying on headline EPS, as the underlying operational performance appears to be masked by these recurring, material swings in net income.
While management emphasizes the strength of the membership moat, the persistent negative operating margins and high cash burn rates, as seen in the 2025Q3 results, suggest that the current business model may be fundamentally unsustainable without continuous external financing or a pivot to a capital-light strategy.
Short-term observers might argue that the company is over-leveraged and reliant on a 'growth at any cost' mentality that ignores the reality of its high-touch, high-cost operational requirements. The inability to generate consistent positive operating cash flow suggests that the brand's prestige may not be sufficient to overcome the structural financial burdens of its physical footprint.
Quick answers to the most common questions about buying SHCO stock.
For fiscal year 2024, Soho House & Co Inc. (SHCO) reported total revenue of $1.20B. This represents a 109.0% increase compared to $576.0M in 2018.
Soho House & Co Inc. (SHCO) reported a net loss of $163.0M for the fiscal year ending 2024.
Soho House & Co Inc. (SHCO) reported an operating income of $-70.0M, resulting in an operating profit margin of -5.8%. This margin reflects the operational efficiency of the business before interest and taxes.
Soho House & Co Inc. (SHCO) generated $565.5M in gross profit for the year, representing a gross profit margin of 47.0%. This demonstrates the company's core pricing power and production efficiency.