IRVINE, Calif.--(BUSINESS WIRE)--Xponential Fitness, Inc. (NYSE: XPOF) (the "Company†or "Xponential Fitness†), one of the leading global franchisors of boutique health and wellness brands, today announced that it has appointed Gavin M. O'Connor as its Chief Legal Counsel and Administrative Officer, effective November 14, 2025. Andrew Hagopian, the Company's previous Chief Legal Officer, has separated from the Company as of November 10, 2025. "I am pleased to welcome Gavin to the Xponential Fit. ...

Xponential Fitness, Inc. (NYSE:XPOF) has a Return on Invested Capital (ROIC) of -8.54%, indicating it is not generating sufficient returns to cover its cost of capital.Comparatively, F45 Training Holdings Inc. has a significantly lower ROIC of -238.96%, while Life Time Group Holdings, Inc. shows a positive ROIC, indicating better capital efficiency.Sovos Brands, Inc. demonstrates strong capital efficiency with a ROIC of 5.54% and a WACC of 5.21%, resulting in a positive ratio.Xponential Fitness, Inc. (NYSE: ...

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For the quarter ended September 2025, Xponential Fitness (XPOF) reported revenue of $78.82 million, down 2.1% over the same period last year. EPS came in at $0.34, compared to -$0.04 in the year-ago quarter.The reported revenue represents a surprise of +4.15% over the Zacks Consensus Estimate of $75.69 million. With the consensus EPS estimate being $0.14, the EPS surprise was +142.86%.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to ...

Core Viewpoint - Xponential Fitness reported quarterly earnings of $0.34 per share, significantly exceeding the Zacks Consensus Estimate of $0.14 per share, and showing a substantial improvement from a loss of $0.04 per share a year ago, indicating strong financial performance [1][2] Financial Performance - The company achieved revenues of $78.82 million for the quarter ended September 2025, surpassing the Zacks Consensus Estimate by 4.15%, although this represents a decline from year-ago revenues of $80.49 million [2] - Over the last four quarters, Xponential Fitness has exceeded consensus EPS estimates two times and topped consensus revenue estimates three times [2] Stock Performance - Xponential Fitness shares have declined approximately 51.3% since the beginning of the year, contrasting with the S&P 500's gain of 15.6%, indicating underperformance in the market [3] Future Outlook - The company's earnings outlook will be crucial for investors, as it includes current consensus earnings expectations for upcoming quarters and any recent changes to these expectations [4] - The current consensus EPS estimate for the next quarter is $0.20 on revenues of $78.7 million, and for the current fiscal year, it is $0.48 on revenues of $304.61 million [7] Industry Context - The Leisure and Recreation Services industry, to which Xponential Fitness belongs, is currently ranked in the top 28% of over 250 Zacks industries, suggesting a favorable industry outlook that could positively impact stock performance [8]

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Financial Data and Key Metrics Changes - The company reported a consolidated revenue of $78.8 million for the third quarter, down 2% from $80.5 million in the prior year period [19][21] - Adjusted net income for the third quarter was $19.3 million, or adjusted net income of $0.36 per basic share, compared to a net loss of $18.1 million in the prior year [25] - Adjusted EBITDA was $33.5 million in the third quarter, up 9% from $30.8 million in the prior year period, with an adjusted EBITDA margin of 42% [26] Business Line Data and Key Metrics Changes - North America system-wide sales were $432.2 million, up 10% year-over-year, primarily driven by growth from net new studio openings [17] - Same-store sales were down 0.8% for the quarter but up 5.4% on a two-year stacked basis [17] - North America run-rate average unit volumes climbed to $668,000 in the third quarter, up 2% from $654,000 in the prior year period [19] Market Data and Key Metrics Changes - The global boutique fitness market is expected to reach $60 billion by 2030, driven by increasing demand for specialized fitness experiences [6] - The company ended the quarter with 3,066 global open studios, having opened 78 new studios and closed 32 studios [16] Company Strategy and Development Direction - The company is focusing on enhancing marketing, operations support, unit growth, innovation, and cost efficiencies to drive growth and financial returns [10][11] - Following recent divestitures, the company has streamlined its brand portfolio, which is expected to improve franchisee support and operational efficiency [10][12] - The company plans to implement a national brand campaign for Club Pilates to enhance brand awareness and drive organic growth [12][48] Management's Comments on Operating Environment and Future Outlook - Management acknowledged challenges in lead flow and member conversion, particularly in the context of enhanced privacy safeguards [18] - The company is taking a conservative approach to North American system-wide sales projections due to current business conditions [29] - The outlook for 2025 includes projected North America system-wide sales ranging from $1.73 billion to $1.75 billion, representing a 12% increase at the midpoint [29] Other Important Information - The company expects to see marketing fund spend exceed marketing fund revenue by approximately $5 million in the fourth quarter due to the nationwide branding campaign [31] - The company recorded a net loss of $6.7 million in the third quarter, compared to a net loss of $18.1 million in the prior year [25] Q&A Session Summary Question: Update on Club Pilates comps - In Q3, Club Pilates comps came into the low single digit or about 1%, reflecting the maturity of the studio base [34] Question: Balancing higher prices with member retention - The company is conducting a pricing analysis to ensure a thoughtful approach to pricing and packages while maximizing studio usage [38] Question: Private equity involvement in franchisee base - The company is exploring opportunities to bring in larger-scale operators and private equity into the franchisee base, particularly for Club Pilates [41] Question: National ad campaign purpose - The national ad campaign aims to test new marketing channels and understand their effectiveness, which could benefit other brands in the future [48]

Boutique fitness studio franchisor Xponential Fitness (NYSE:XPOF) reported Q3 CY2025 results beating Wall Street’s revenue expectations , but sales fell by 2.1% year on year to $78.82 million. The company expects the full year’s revenue to be around $305 million, close to analysts’ estimates. Its non-GAAP profit of $0.34 per share was significantly above analysts’ consensus estimates. Is now the time to buy Xponential Fitness? Find out in our full research report. Xponential Fitness (XPOF) Q3 CY2025 High ...

Key Operating Metrics - Global studios increased by 8% year-over-year, reaching 3,066[13] - Global licenses increased by 3% year-over-year, totaling 5,318[13] - System-wide sales in North America increased by 10% year-over-year, reaching $432 million[14] - Run-Rate AUV in North America increased by 2% year-over-year, reaching $668,000[14] - Same-store sales increased by 7% year-over-year for studios open greater than 36 months[21] - Total members decreased by 1% to 796,000[21] Financial Performance - Revenue decreased by 2% year-over-year to $79 million[25] - Adjusted EBITDA increased by 9% year-over-year to $33 million, with a margin of 42% compared to 38% in the previous year[25, 33] - Adjusted net earnings per share - diluted is $034, compared to ($005) in Q3 2024[30] Future Outlook (FY 2025 Guidance) - The company anticipates between 170 and 190 net new studio openings globally, a -37% change vs 2024[35] - System-wide sales in North America are projected to be between $173 billion and $175 billion, a 12% increase compared to 2024[35] - Revenue is expected to be between $300 million and $310 million, a -5% change vs 2024[35] - Adjusted EBITDA is projected to be between $106 million and $111 million, a -7% change vs 2024[35]

Financial Performance - Total revenue for Q3 2025 decreased by $1.7 million, or 2%, to $78.8 million compared to $80.5 million in Q3 2024[5] - The company reported a net loss of $6.7 million, or a loss of $0.18 per basic share, an improvement from a net loss of $18.1 million, or a loss of $0.29 per basic share in the prior year[7] - Adjusted net income was $19.3 million, or adjusted net earnings of $0.36 per basic share, compared to an adjusted net loss of $0.3 million in the prior year[8] - Adjusted EBITDA for Q3 2025 was $33.5 million, a 9% increase from $30.8 million in Q3 2024[9] - Total revenue for the three months ended September 30, 2025, was $78.824 million, a decrease of 2% compared to $80.530 million in the same period of 2024[24] - Franchise revenue increased to $51.882 million for the three months ended September 30, 2025, up 16% from $44.458 million in 2024[24] - Net loss attributable to Xponential Fitness, Inc. for the three months ended September 30, 2025, was $4.859 million, compared to a net loss of $12.120 million in the same period of 2024[24] - Operating income for the nine months ended September 30, 2025, was $28.068 million, a significant improvement from an operating loss of $1.700 million in 2024[24] - Adjusted EBITDA for the three months ended September 30, 2025, was $33,479 thousand, up from $30,802 thousand in the same period of 2024, indicating an increase of 5.5%[30] - Adjusted net income attributable to Xponential Fitness, Inc. for the three months ended September 30, 2025, was $13,924 thousand, compared to a loss of $219 thousand in the same period of 2024[30] Cash and Debt Position - The company had approximately $41.5 million in cash and cash equivalents and $376.4 million in total long-term debt as of September 30, 2025[10] - Cash, cash equivalents, and restricted cash increased to $41.463 million as of September 30, 2025, from $32.739 million at the end of 2024[26] - Total current assets rose to $99.217 million as of September 30, 2025, compared to $84.147 million at the end of 2024, reflecting a 17.9% increase[22] - Total liabilities decreased to $559.000 million as of September 30, 2025, down from $597.402 million at the end of 2024[22] - The company reported a net cash provided by operating activities of $17.640 million for the nine months ended September 30, 2025, compared to $10.901 million in 2024[26] Studio Openings and Sales Growth - System-wide sales reached $432.2 million in Q3 2025, reflecting a 10% year-over-year increase[6] - Quarterly average unit volume (AUV) was $668,000, up 2% year-over-year, with total members increasing by 7% to 796,000[6] - For full year 2025, the company expects net new studio openings in the range of 170 to 190, a decrease of 37% at the midpoint[11] - North America system-wide sales are projected to be between $1.730 billion and $1.750 billion, representing a 12% increase at the midpoint[11] - System-wide sales growth is driven by new studio openings and increases in same store sales, with approximately 7% and 2% of franchisee sales contributing to royalty and marketing fund revenue, respectively[31] Impairments and Charges - The impairment of goodwill and other noncurrent assets was $32.411 million for the nine months ended September 30, 2025, compared to $16.594 million in 2024[26] - The company reported an impairment of goodwill and other noncurrent assets amounting to $17,568 thousand for the three months ended September 30, 2025, compared to $4,505 thousand in 2024[30] - Restructuring and related charges (excluding impairments) amounted to $2,175 thousand for the three months ended September 30, 2025, down from $9,193 thousand in the same period of 2024[30] Shareholder Information - The weighted average shares of Class A common stock outstanding increased to 35,110 thousand for the three months ended September 30, 2025, from 32,177 thousand in 2024[24] - The weighted average shares of Class A common stock outstanding for the three months ended September 30, 2025, increased to 35,110 thousand from 32,177 thousand in 2024, reflecting a growth of 11.4%[30] - Adjusted net earnings per share - diluted for the three months ended September 30, 2025, was $0.34, compared to a loss of $0.05 in the same period of 2024[30] Revenue Guidance - Revenue guidance for 2025 is set between $300.0 million and $310.0 million, indicating a 5% decrease at the midpoint[11]