Xponential Fitness (NYSE:XPOF) Posts Earnings Results, Misses Estimates By $0.15 EPS

Xponential Fitness (NYSE:XPOF) issued its quarterly earnings data on Thursday. The company reported ($0.04) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.11 by ($0.15), FiscalAI reports. Xponential Fitness had a negative return on equity of 3.49% and a negative net margin of 11.28%.The company had revenue of $60.71 million for the quarter, compared to the consensus estimate of $63.75 million. During the same quarter last year, the business earned $0.20 earnings per share. Xponential Fitness’s revenue was down 21.0% compared to the same quarter last year.

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

• Leadership additions: The company added Robert Julian as Interim CFO, Eric Quade as CIO, and will hire Steph Soe as CMO, positions management says will strengthen financial, technology, and marketing execution.
• Unit growth and pipeline: Q1 saw 23 net domestic and 17 net international openings, management reaffirmed a 2026 target of 150–170 net studio openings and highlighted a robust Club Pilates pipeline (targeting >2,100 U.S. studios and >499 committed international licenses).
• Same?store sales weakness: Q1 same?store studio sales fell ~6% company?wide (Club Pilates down ~4%), which management attributes mainly to lower digital traffic from Meta/Google platform changes and privacy?related lead conversion issues.
• Financial pressure and liabilities: Revenue declined 21% YoY to $60.7M and adjusted EBITDA fell 25% to $20.4M; cash dropped to $21.5M, the company drew $10M on its revolver, paid $12.5M of franchisee settlement with ~$16.4M more expected, and long?term debt rose to $523.7M.
• Operational fixes underway include a new national marketing agency, automated CRM emails, website redesigns (early lifts at StretchLab), pricing “hygiene” and remodels; management expects these initiatives plus targeted paid spend to stabilize lead generation and reaffirmed full?year 2026 guidance.

Xponential Fitness Stock Performance

Shares of NYSE XPOF traded down $0.93 during midday trading on Friday, hitting $5.62. 1,653,009 shares of the stock traded hands, compared to its average volume of 375,491. The company has a market cap of $275.42 million, a PE ratio of -4.07 and a beta of 1.19. Xponential Fitness has a one year low of $3.83 and a one year high of $11.14. The business has a 50 day moving average price of $6.36 and a two-hundred day moving average price of $7.11.

Analyst Upgrades and Downgrades

A number of equities research analysts have weighed in on the company. Lake Street Capital downgraded Xponential Fitness from a “buy” rating to a “hold” rating and set a $6.00 target price for the company. in a report on Friday. Roth Mkm set a $7.00 target price on Xponential Fitness in a report on Friday. Raymond James Financial reiterated a “market perform” rating on shares of Xponential Fitness in a report on Thursday, March 19th. Weiss Ratings reiterated a “sell (d-)” rating on shares of Xponential Fitness in a report on Monday, April 20th. Finally, Robert W. Baird lowered their target price on Xponential Fitness from $8.00 to $6.50 and set a “neutral” rating for the company in a report on Friday, February 27th. One research analyst has rated the stock with a Buy rating, eight have given a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, Xponential Fitness presently has a consensus rating of “Hold” and an average target price of $8.50.

Key Stories Impacting Xponential Fitness

Here are the key news stories impacting Xponential Fitness this week:

• Negative Sentiment: Q1 2026 results missed expectations, with EPS of -$0.04 versus the $0.11 consensus and revenue of $60.7 million versus $63.8 million expected; revenue also fell 21% from a year ago, signaling softer operating performance. Article Title
• Negative Sentiment: The company’s same-store sales in North America declined 6%, reversing last year’s growth and suggesting slower franchise demand. Article Title
• Negative Sentiment: Lake Street Capital downgraded Xponential Fitness (XPOF) from buy to hold, even though it kept a $6.00 price target, which adds to the cautious sentiment around the stock. Article Title
• Neutral Sentiment: Management guided 2026 revenue to $260 million-$270 million, roughly in line with Wall Street expectations, which may help limit further downside if execution improves.
• Neutral Sentiment: Despite the earnings miss, North America system-wide sales rose 2% to $436.9 million, showing the franchise base is still expanding even as same-store trends remain weak.

Institutional Investors Weigh In On Xponential Fitness

Several hedge funds and other institutional investors have recently modified their holdings of XPOF. Hudson Bay Capital Management LP bought a new stake in shares of Xponential Fitness during the fourth quarter valued at approximately $6,172,000. Cibc World Markets Corp bought a new stake in shares of Xponential Fitness during the fourth quarter valued at approximately $3,718,000. Solel Partners LP bought a new stake in shares of Xponential Fitness during the second quarter valued at approximately $1,945,000. Healthcare of Ontario Pension Plan Trust Fund bought a new stake in shares of Xponential Fitness during the fourth quarter valued at approximately $2,058,000. Finally, Deutsche Bank AG increased its holdings in shares of Xponential Fitness by 221.7% during the fourth quarter. Deutsche Bank AG now owns 352,005 shares of the company’s stock valued at $2,897,000 after acquiring an additional 242,570 shares in the last quarter. Institutional investors own 58.55% of the company’s stock.

About Xponential Fitness

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.