Xponential Fitness, the global franchisor of boutique fitness brands, has elevated its full-year revenue and adjusted Ebitda guidance and re-affirmed its outlook for studio opening and systemwide sales in North America. The California company, whose brand portfolio includes Row House, Pure Barre, and Club Pilates, among others, is forecasting 500 to 520 studio openings in FY22. Annual revenues are projected to rise by 53 percent year-over-year to $235 million to 240 million versus prior guidance of $211 million to $221 million. FY adjusted Ebitda is now pegged at $70 million to 74 million against prior guidance of $68 million to 72 million, a year-over-year increase of 156 percent at the midpoint of the range.
In Q3 ended Sept. 30, Xponential had an operating loss of $10.4 million against a loss of $3.29 million. The net loss was $13.1 million versus a year-ago net loss of $8.9 million. A $13.6 million improvement in profitability was offset by $13.4 million in non-cash expenses that was largely related to the company’s Rumble acquisition. Period revenues increased by 56 percent to $63.8 million from $40.9 million. By segment, franchise revenue rose by 50 percent to $30.0 million; equipment sales lifted by 74 percent higher to $11.8 million, and merchandise revenue increased by 28 percent to $6.3 million.
