Xponential Fitness, Inc. (XPOF) · Nov 5, 2026 · Earnings

Xponential Fitness earnings show sharper studio weakness as guidance slips

Miss — Same-store sales -7.5%; net openings cut to 124-130 from ~150

Xponential Fitness’ third-quarter earnings show deeper studio pressure: same-store sales fell 7.5%, while openings and adjusted EBITDA guidance moved lower.

Xponential is a boutique-fitness franchisor trying to stabilize franchisee economics while its studio-growth engine slows; the board has been reviewing a possible sale, merger, or other strategic transaction since April, and the prior quarter was already described as below expectations.

The core operating problem worsened, not merely persisted. North American same-store sales fell 7.5%, versus a 0.8% decline a year earlier, while quarterly run-rate AUV dropped to $634,000 from $668,000. That points to weaker economics at existing studios—the metric most relevant to franchisee health—not just a temporary revenue mix issue.

The headline profit improvement is misleading. GAAP net income turned positive, but adjusted net income fell to $2.2 million from $19.3 million and adjusted EBITDA fell 27% to $24.3 million. The business is still generating earnings, but its underlying operating performance deteriorated materially.

FigureQ3 2026Q3 2025Prior guidance / comparison
Revenue (Financial Highlights)$62.3M (-21%)$78.8M
North America same-store sales (Financial Highlights)-7.5%-0.8%
Quarterly run-rate AUV (Financial Highlights)$634K (-5.1%)$668K
Adjusted EBITDA (Financial Highlights)$24.3M (-27%)$33.5M
Net new studio openings (2026 Outlook)124-130~150 prior guide
Adjusted EBITDA (2026 Outlook)$91M-$94M$91M-$97M prior guide

The outlook now confirms a slower growth model. Management retained its revenue and system-wide-sales outlook, but cut expected net new openings by roughly 37% at the midpoint from approximately 150 and reduced the top end of adjusted EBITDA guidance. The direction was already visible after the prior quarter’s guidance reset, so this is partly known rather than a surprise; the new disclosure is that the slowdown is extending into the operating metrics that support franchisee expansion. 〔0〕

Liquidity leaves less room for a prolonged turnaround. Cash, cash equivalents and restricted cash were $27.2 million against $521.1 million of long-term debt, while operating activities used $21.1 million during the first nine months. That makes the ongoing strategic review more consequential to the business situation, even though the filing gives no update on a potential transaction.

Bottom line: This quarter weakens the operating story: existing studios are producing less, new-unit growth is slowing, and adjusted earnings are falling. The strategic review remains the main potential reset, but this filing provides no evidence that the underlying business has stabilized yet.

What to watch next

Conclusion of strategic alternatives review

Original filing on SEC EDGAR

More Xponential Fitness, Inc. news

Xponential Fitness earnings show sharper studio weakness as guidance slips | XPOF Stock News
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