Result drivers
- Equipment sales drop - Co said revenue decline was driven primarily by fewer equipment installations, linked to fewer studio openings and lower franchise license sales
- Merchandise model change - Merchandise revenue fell due to transition from in-house wholesale to outsourced retail model and related challenges
- Same-store sales and divestitures - Franchise revenue declined due to lower same store sales and brand divestitures completed in 2025
Updated 2026 guidance
- Xponential Fitness lowers 2026 net new studio openings forecast to about 150, down 25%
- Company sees 2026 North America system-wide sales between $1.70 bln and $1.75 bln
- Xponential Fitness expects 2026 revenue between $250 mln and $260 mln, down 19% at midpoint
Q2 results and outlook
- U.S. boutique fitness franchisor's Q2 revenue fell 13% yr/yr on lower equipment and merchandise sales
- Adjusted net income and adjusted EBITDA declined sharply from prior year period
- Company cut full-year 2026 outlook for revenue, adjusted EBITDA and net new studio openings
Key details and analyst coverage
XPOF•
