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Water Tower Research

Water Tower Research is a leading equity research firm that provides research on micro, small and mid cap companies.

Water Tower Research was founded by Wall Street veterans after witnessing a fundamental shift in the investment research industry with the result being a declining knowledge base among investors, a lack of awareness and a shrinking pool of fundamental research being conducted on companies across the small-cap and micro-cap spectrum. The same issues are now increasingly occurring in the mid-cap space. This sea change within the investment community is impacting not only the companies themselves but also current shareholders and potential investors. With significantly less active sell-side sponsorship by Wall Street, a substantial information gap has developed between companies and various constituents in the financial community. The net result is fewer channels for insight and information to flow between companies and investors.

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<ul><li>XWELL reported 2022 results that were slightly better than preliminary results issued on March 30.</li><li>Revenues for the quarter were $7.5 million, with $4.5 million coming from the spa business (XpresSpa and Treat), $2.6 million from the CDC program and the one remaining XpresCheck location, and $.5 million from HyperPointe.</li><li>While 1Q is usually a slower quarter for the travel industry, we expect the company to continue to focus on improving the profitability of its spa business primarily through the closure of a few stores that don’t contribute to profitability.</li></ul>

XWELL reported 2022 results that were slightly better than preliminary results issued on March 30.Revenues for the quarter were $7.5 million, with $4.5 million coming from the spa business (XpresSpa and Treat), $2.6 million from the CDC program and the one remaining XpresCheck location, and $.5 million from HyperPointe.While 1Q is usually a slower quarter for the travel industry, we expect the company to continue to focus on improving the profitability of its spa business primarily through the closure of a few stores that don’t contribute to profitability.

4Q22 Results Slightly Better than Expected; Business Transformation Continues in 2023