Fri, May 9, 9:30 PM (6 days ago)
**Xponential Fitness, Inc. (XPOF) Q1 2025 Financial Summary** **Financial Health & Performance:** - **Revenue:** $76.9M (down 3.5% YoY) - Franchise revenue: $43.9M (up 5.1% YoY) - Equipment revenue: $11.1M (down 20.1% YoY) - Merchandise revenue: $6.3M (down 25% YoY) - Franchise marketing fund revenue: $9.3M (up 18.3% YoY) - Other service revenue: $6.4M (down 19.1% YoY) - **Net Loss:** $2.7M (improved from $3.8M loss YoY) - **Operating Income:** $9.7M (up from $8M YoY) - **Cash Flow from Operations:** $5.8M (up from $2.7M YoY) **Profit Margins:** - Operating margin: 12.6% (up from 10% YoY) - Net margin: -3.5% (improved from -4.7% YoY) **Cash Flow:** - **Operating Cash Flow:** $5.8M (up from $2.7M YoY) - **Investing Cash Flow:** -$1M (improved from -$9.2M YoY) - **Financing Cash Flow:** $5M (up from -$3.4M YoY) **Earnings Changes:** - **EPS:** -$0.10 (improved from -$0.29 YoY) **Quarterly Performance Discussion:** - Revenue decreased due to lower equipment and merchandise sales, offset by increases in franchise and marketing fund revenues. - Operating income improved due to cost reductions and acquisition-related gains. - Cash flow from operations increased significantly, driven by better working capital management. **Trends & Uncertainties:** - **Positive Trends:** Increased franchise revenue and marketing fund revenue, improved operating income, and better cash flow management. - **Uncertainties:** Dependence on franchisee performance, regulatory challenges, and potential economic downturns. **Future Operations Impact:** - Continued focus on franchise growth, cost management, and strategic acquisitions. - Potential impacts from regulatory investigations and economic conditions. **Key Metrics:** - **System-wide Sales:** $466.8M (up from $396.4M YoY) - **New Studio Openings:** 116 (up from 111 YoY) - **Total Studios Operating:** 3,298 (up from 3,079 YoY) - **Same Store Sales Growth:** 4% (down from 9% YoY) - **Average Unit Volume (AUV):** $673 (up from $630 YoY) **Debt & Leases:** - **Debt:** $379.1M (including exit fee) - **Lease Liabilities:** $28.2M (up from $23.9M YoY) **Outlook:** - Focus on franchise growth, cost management, and strategic investments. - Potential impacts from regulatory investigations and economic conditions.