Xponential Fitness (NYSE:XPOF) Announces Earnings Results, Misses Estimates By $0.88 EPS

by · The Markets Daily

Xponential Fitness (NYSE:XPOF – Get Free Report) issued its quarterly earnings data on Thursday. The company reported ($0.91) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.03) by ($0.88), Zacks reports. Xponential Fitness had a negative net margin of 15.30% and a negative return on equity of 6.85%.

Here are the key takeaways from Xponential Fitness’ conference call:

  • Management reported continued scale with strong studio expansion led by Club Pilates, driving roughly $1.7 billion in system-wide sales for 2025 and making Club Pilates the dominant brand in the portfolio.
  • 2026 guidance calls for fewer net new studios (150–170, ~20% lower at the midpoint) and a total revenue decline to $260M–$270M (midpoint down ~16% year-over-year), reflecting recent brand divestitures and the shift to outsourced merchandise.
  • Management is prioritizing member acquisition and retention with increased performance marketing, pricing tests, digital and studio-management platform upgrades, and a newly deployed 35-person field operations team to improve lead-to-membership conversion.
  • Regulatory uncertainty may be reduced after FTC staff recommended a proposed consent order resolving alleged claims, under which the company agreed to pay $17 million (subject to final approvals).
  • Capital structure actions include a new $525 million term loan and full repurchase of convertible preferred stock (eliminating ~8.1M potential shares), which management says reduces dilution and improves financial flexibility.

Xponential Fitness Stock Down 2.2%

XPOF stock traded down $0.18 during mid-day trading on Thursday, hitting $8.05. The company had a trading volume of 1,315,824 shares, compared to its average volume of 374,526. Xponential Fitness has a 12-month low of $5.38 and a 12-month high of $13.91. The company has a 50-day moving average price of $8.22 and a 200 day moving average price of $7.75. The company has a market capitalization of $393.73 million, a price-to-earnings ratio of -4.88 and a beta of 1.41.

Wall Street Analysts Forecast Growth

Several analysts have recently weighed in on XPOF shares. Weiss Ratings restated a “sell (d-)” rating on shares of Xponential Fitness in a report on Wednesday, January 21st. Stifel Nicolaus dropped their price target on shares of Xponential Fitness from $10.00 to $8.00 and set a “hold” rating for the company in a research note on Friday, November 21st. Guggenheim cut their price target on shares of Xponential Fitness from $13.00 to $12.00 and set a “buy” rating on the stock in a report on Monday, November 10th. Finally, Wall Street Zen upgraded Xponential Fitness from a “hold” rating to a “buy” rating in a report on Tuesday, November 11th. One equities research analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating, four have given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, Xponential Fitness has an average rating of “Hold” and an average target price of $10.86.

View Our Latest Report on Xponential Fitness

Institutional Trading of Xponential Fitness

Hedge funds have recently made changes to their positions in the business. Hudson Bay Capital Management LP purchased a new stake in Xponential Fitness in the fourth quarter worth $6,172,000. Cibc World Markets Corp bought a new position in shares of Xponential Fitness in the fourth quarter worth about $3,718,000. Solel Partners LP bought a new position in shares of Xponential Fitness in the second quarter worth about $1,945,000. Healthcare of Ontario Pension Plan Trust Fund bought a new stake in Xponential Fitness during the 4th quarter valued at about $2,058,000. Finally, Deutsche Bank AG lifted its holdings in Xponential Fitness by 221.7% during the 4th quarter. Deutsche Bank AG now owns 352,005 shares of the company’s stock valued at $2,897,000 after buying an additional 242,570 shares in the last quarter. 58.55% of the stock is currently owned by hedge funds and other institutional investors.

Xponential Fitness Company Profile

(Get Free Report)

Xponential Fitness is a leading franchisor and operator of boutique fitness studios headquartered in Irvine, California. The company specializes in developing, marketing, and supporting a portfolio of fitness brands that deliver low-impact cardio, strength training, and mindful movement workouts. Through its asset-light franchise model, Xponential provides entrepreneurs with proprietary studio designs, branded equipment, digital support, and comprehensive training programs to ensure consistent member experiences.

Its portfolio comprises core brands such as Club Pilates, Pure Barre, CycleBar, StretchLab, YogaSix, Row House, Rumble, AKT, and STRIDE.

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