XpresSpa Group Inc · Q1 2026 earnings

Briefing

XWELL, Inc. reported a net loss of $11.0 million for the first quarter of 2026 amid a capital restructuring and private placement.

XWELL, Inc. generated $6.6 million in revenue for Q1 2026, down 5% year-over-year, with a gross profit of $2.4 million. The company completed a $28.3 million net private placement of Series H Preferred Stock and used proceeds to repurchase prior securities, resulting in a working capital surplus of $11.4 million. Operating expenses rose sharply due to higher legal, consulting, and stock-based compensation costs.

• Revenue declined 5% to $6.6 million, primarily due to lower XpresTest surge billing and the wind-down of the HyperPointe segment.
• Gross profit increased to $2.4 million as cost of sales fell 25% from reduced labor and occupancy expenses.
• Net loss widened to $11.0 million, driven by a $5.6 million loss on derivative fair value changes and elevated G&A expenses.
• Liquidity strengthened significantly after a $28.3 million Series H Preferred Stock placement, yielding $16.8 million in cash and a positive working capital position.

Headline financials

Revenue & EPS history

Management believes current cash and expected operating cash flows provide sufficient liquidity to fund operations for at least the next twelve months.