Xponential Fitness, Inc. reported system-wide sales of $432.2 million in Q3 2025, which increased 10 percent year-over-year. driven primarily by growth from net new studio openings. Same-store sales were down 0.8 percent for the quarter but up 5.4 percent on a 2-year stack basis. The boutique franchisee reported a slight decline in reported sales and a narrower loss in the period.

Financial Highlights: Q3 2025 Compared to Q3 20243

  • Reported revenue of $78.8 million, a decrease of 2 percent from the prior year period.
  • Increased North America system-wide sales by 10 percent to $432.2 million.
  • Reported North America same-store sales decreased by 1 percent, compared to growth of 6 percent.
  • Reported North America quarterly run-rate average unit volume (AUV) of $668,000, compared to $654,000.
  • Posted net loss of $6.7 million, or a loss of 18 cents per basic share, on a share count of 35.1 million shares of Class A Common Stock, compared to a net loss of $18.1 million, or a loss of 29 cents per basic share, on a share count of 32.2 million shares of Class A Common Stock.
  • Posted adjusted net income of $19.3 million or adjusted net earnings of 36 cents per basic share, compared to adjusted net loss of $0.3 million, or adjusted net loss of $0.05 million per basic share.
  • Reported Adjusted EBITDA6 of $33.5 million, compared to $30.8 million.

“Over my first 90 days, I’ve gained a much clearer picture of our strengths and opportunities ahead. This time has only reinforced my confidence in both the power of our brands and the commitment of our franchisees,” said Mike Nuzzo, the recently appointed CEO of Xponential Fitness, Inc. “That said, it is clear that there is significant potential for improvement across our operations, and I’m excited to work with the team to unlock and realize that value for all stakeholders.”

On August 7, Xponential Fitness announced that Nuzzo, formerly the CEO of Eyemart Express, has replaced Mark King, the former President of Adidas America, as CEO.

Results for the Third Quarter Ended September 30, 2025

  • Total revenue decreased $1.7 million, or 2 percent, to $78.8 million, down from $80.5 million in the prior year period, driven by lower equipment revenue resulting from a decline in installations, as well as a decrease in merchandise revenue, partially offset by higher franchise revenue and franchise marketing fund revenue.
  • Net loss totaled $6.7 million, or a loss of 18 cents per basic share, compared to a net loss of $18.1 million, or a loss of 29 cents per basic share, in the prior year period.
  • Adjusted net income was $19.3 million or adjusted net earnings of 36 cents per basic share, on a share count of 35.1 million shares of Class A Common Stock.
  • Adjusted EBITDA, which is defined as net income (loss) before interest, taxes, depreciation and amortization, adjusted for the impact of certain non-cash and other items that are not considered in the evaluation of ongoing operating performance, was $33.5 million, up 9 percent from $30.8 million in the prior year period.

Liquidity and Capital Resources
As of September 30, 2025, the company had approximately $41.5 million of cash, cash equivalents and restricted cash and $376.4 million in total long-term debt. Net cash provided by operating activities was $17.6 million for the nine months ended September 30, 2025.

2025 Outlook
The company reiterated its guidance for net new studio openings, revenue and adjusted EBITDA, and updated guidance for system-wide sales for full year 2025. Guidance and year-over-year comparisons for net new studio openings and system-wide sales exclude CycleBar, Rumble, and Lindora results in both periods. Guidance compares to 2024 results as follows:

  • Net new studio openings in the range of 170 to 190, or a decrease of 37 percent at the midpoint.
  • North America system-wide sales1 in the range of $1.730 billion to $1.750 billion, or an increase of 12 percent at the midpoint.
  • Revenue in the range of $300.0 million to $310.0 million, or a decrease of 5 percent at the midpoint.
  • Adjusted EBITDA in the range of $106.0 million to $111.0 million, or a decrease of 7 percent at the midpoint.

Xponential Fitness’s banners include Club Pilates, StretchLab, YogaSix, Pure Barre, and BFT.

Image courtesy Xponential Fitness