Soho House Reports Q3 2025 Revenue of $370.8M, Faces $17M Net Loss

Soho House & Co Inc. reported its financial results for the third quarter of fiscal 2025, revealing a total revenue of $370.8 million, an increase of 11% from $333.4 million in the same period last year. Membership revenues rose by 14% to $122.7 million, driven by a 3% increase in the number of Adult Paying Members, while In-House revenues grew by 5% to $126.1 million. However, the company experienced a net loss of $17 million for the quarter, compared to a net income of $718,000 in the prior year, reflecting challenges in managing operating expenses, which surged by 28% to $376.8 million.

The increase in operating expenses was attributed to higher costs associated with new House openings, wage inflation, and increased rent. General and administrative expenses also rose by 22% to $48.2 million, driven by the global expansion of partnership arrangements and the operational costs of new locations. Despite these challenges, the company reported a House-Level Contribution of $67.4 million, an 11% increase from the previous year, indicating a positive trend in profitability from its core operations.

In terms of strategic developments, Soho House announced a merger agreement on August 15, 2025, with EH Parent LLC, an affiliate of The Yucaipa Companies LLC. This merger, pending shareholder approval, will see the company continue as a privately held entity. The company also expanded its membership offerings, with a total of approximately 269,600 members as of September 28, 2025, including 213,800 Soho House Members. The company’s waitlist has grown to over 111,000 applicants, reflecting strong demand for its membership services.

Operationally, Soho House has continued to expand its geographic footprint, with 46 Houses now in operation, up from 45 a year earlier. The company has also seen a rise in active app users, reaching 217,106, which underscores the growing engagement with its digital platforms. However, the company faced challenges in its Americas segment, particularly due to wildfires impacting revenues in Los Angeles.

Looking ahead, Soho House remains optimistic about its growth trajectory, citing the resilience of its membership model and the potential for further expansion. The company plans to continue investing in new locations and enhancing its offerings to meet evolving member needs. Despite the current financial challenges, management believes that the strategic initiatives in place will position the company for long-term success.