GICS Sector : Consumer Cyclical
Xponential Fitness, Inc., through its subsidiaries, operates as a boutique fitness franchisor in the United States and internationally.The company offers fitness and wellness services, including pilates, barre, cycling, stretching, rowing, yoga, boxing, dancing, running, and functional training under the Club Pilates, Pure Barre, CycleBar, StretchLab, Row House, YogaSix, Rumble, AKT, Stride, and BFT brands.As of December 31, 2021, it had 1,556 franchisees operating 1,954 open studios on an adjusted basis.
Revenue for the full year hovered around $260‑$270 million, flat against 2024, while adjusted EBITDA slipped 4 % to $111.8 million, underscoring pressure on margins. Net loss narrowed to $53.7 million from $98.7 million, yet the company posted an earnings per share of –$0.91 versus a consensus of –$0.0342 (Nuzzo). Valuation reflects this weakness, with a P/E of –7.65 and an EV/EBITDA of 39.0.
Publication Date: 07:33
The franchise model faced a 20 % net decline in studios, driven largely by closures in Pure Barre, StretchLab, and YogaSix. Despite 201 net new studios in 2025, the company now projects only 150‑170 openings in 2026, a 20 % cut, while anticipating a 10 % annual addition to offset the attrition.
Franchise revenue surged 14 % YoY to $51.5 million, bolstered by accelerated license income and remediation of delinquent payments. The club Pilates brand remains the linchpin, with a projected 1 % sales lift in North America to $1.72‑$1.8 billion in 2026, reflecting a focus on organic growth.
A 35‑person field team now supports franchisees, enhancing lead-to-member conversion and local marketing. The company invested $4 million in Q4 marketing and plans to test pricing, trial offers, and unlimited packages in Q2 2026, aiming to lift same‑store sales and member retention.
Cash rose to $45.9 million, with a $525 million 5‑year term loan and $25 million revolving credit. Net debt/EBITDA sits at 25.32, reflecting a cautious debt stance amid reduced studio openings and tighter margins.
Guidance signals a 16 % revenue dip to $260‑$270 million, with adjusted EBITDA projected at $100‑$110 million, a 6 % decline. The firm’s conservative stance hinges on the uncertainty of closures, yet it expects modest same‑store sales growth and continued focus on Club Pilates’ international expansion.
JPMorgan Chase & Co. Increases Stock Position in Xponential Fitness, Inc. $XPOF
Apr -07
Xponential Fitness, Inc. Initiates Review of Strategic Alternatives to Maximize Shareholder Value
Apr -07
Xponential Fitness, Inc. Investigated by the Portnoy Law Firm
Apr -06
Kanen Wealth Management Urges Xponential Fitness (NYSE: XPOF) Board to Initiate Strategic Review, Including Potential Sale
Apr -01
XPONENTIAL INVESTIGATION ALERT: Bragar Eagel & Squire, P.C. is Investigating Xponential Fitness, Inc. on Behalf of Xponential Stockholders and Encourages Investors to Contact the Firm
Mar -30
INVESTOR ALERT: Pomerantz Law Firm Investigates Claims On Behalf of Investors of Xponential Fitness, Inc. - XPOF
Mar -26
INVESTOR ALERT: Pomerantz Law Firm Investigates Claims On Behalf of Investors of Xponential Fitness, Inc. - XPOF
Mar -24
Xponential Fitness, Inc. (NYSE:XPOF) Receives Consensus Rating of “Reduce” from Brokerages
Mar -23
Xponential Fitness, Inc.'s franchise growth is driven by increasing demand for boutique fitness, low-cost membership models, and a diverse portfolio of brands (e.g., Club Pilates, CycleBar). Strong unit economics, scalable business models, and a loyal customer base also contribute to the 8% growth rate.
Xponential Fitness, Inc.'s 7% growth is driven by increasing demand for boutique fitness, expansion into new markets, and strategic partnerships. Additionally, the company's diversified portfolio of brands, including Club Pilates, CycleBar, and StretchLab, contributes to its growth. Furthermore, the growing trend of health and wellness, coupled with the rise of the gig economy, fuels demand for flexible and convenient fitness options.
Xponential Fitness, Inc.'s equipment segment growth is driven by increasing demand for boutique fitness experiences, expansion of existing brands, and strategic acquisitions. Growing health awareness, rising disposable income, and the need for convenient, high-energy workouts also contribute to this 10% growth. Furthermore, the company's focus on technology integration, data-driven decision making, and strong marketing efforts support its rapid expansion.
Xponential Fitness, Inc.'s 11% merchandise growth is driven by increasing demand for at-home fitness solutions, expansion of e-commerce platforms, and strategic partnerships with popular fitness influencers. Additionally, the company's diversified portfolio of boutique fitness brands, such as Club Pilates and CycleBar, contributes to the growth.
Xponential Fitness, Inc.'s 9% growth in Franchise Marketing Fund is driven by increasing brand awareness, strategic marketing campaigns, and expansion into new markets. Additionally, the rise of the health and wellness industry, coupled with the growing demand for boutique fitness experiences, contributes to the fund's growth.
A boutique fitness studio offering Pilates-based workouts in a variety of formats, including group classes and private sessions.
A premium indoor cycling studio offering high-energy, instructor-led classes with state-of-the-art equipment and technology.
A stretching studio offering one-on-one and group stretching sessions to improve flexibility, range of motion, and overall wellness.
A high-energy, rowing-based fitness studio offering group classes and personalized coaching.
A dance-based fitness studio offering high-energy classes that combine elements of dance, Pilates, and yoga.
A yoga studio offering a variety of classes and workshops for all levels, from beginner to advanced.
A boxing-inspired fitness studio offering high-intensity, group classes that combine boxing techniques with strength training.
A boot camp-style fitness program offering high-intensity, group classes that combine strength training and cardio exercises.
Xponential Fitness, Inc. has a low threat of substitutes due to its unique and diverse range of fitness brands, including Club Pilates, CycleBar, and StretchLab, among others. This diversification reduces the threat of substitutes, as customers are more likely to remain loyal to the brand.
Xponential Fitness, Inc. has a medium bargaining power of customers, as customers have some flexibility to choose from various fitness brands and studios. However, the company's strong brand reputation and customer loyalty programs help to mitigate this power.
Xponential Fitness, Inc. has a low bargaining power of suppliers, as it has a diverse range of suppliers for its various fitness brands. This diversification reduces the dependence on any single supplier, giving the company more negotiating power.
Xponential Fitness, Inc. faces a high threat of new entrants, as the fitness industry is highly competitive and relatively easy to enter. New entrants can easily start a fitness studio or gym, posing a threat to the company's market share.
Xponential Fitness, Inc. operates in a highly competitive fitness industry, with many established players and new entrants vying for market share. This intense rivalry puts pressure on the company to maintain its market position and differentiate its brands.
| Value | |
|---|---|
| Debt Weight | 103.28% |
| Debt Cost | 3.95% |
| Equity Weight | -3.28% |
| Equity Cost | 9.92% |
| WACC | 3.75% |
| Leverage | -3146.59% |
Value: 8.9
Growth: 3.2
Quality: 3.5
Yield: 5.0
Momentum: 8.0
Volatility: 6.0
1-Year Total Return ->
Value: 6.3
Growth: 4.4
Quality: 4.6
Yield: 6.0
Momentum: 1.5
Volatility: 4.0
1-Year Total Return ->
Value: 9.8
Growth: 1.2
Quality: 4.0
Yield: 4.0
Momentum: 2.5
Volatility: 4.0
1-Year Total Return ->
Value: 8.1
Growth: 4.2
Quality: 4.6
Yield: 0.0
Momentum: 1.0
Volatility: 3.7
1-Year Total Return ->
Value: 8.5
Growth: 5.7
Quality: 5.2
Yield: 0.0
Momentum: 0.5
Volatility: 1.3
1-Year Total Return ->
Value: 9.5
Growth: 2.6
Quality: 4.7
Yield: 0.0
Momentum: 2.5
Volatility: 1.0
1-Year Total Return ->