NYSE$XPOF

Xponential Fitness Inc · Q3 2021 earnings

Q3 2021 earnings · · Investor relations

Briefing

Xponential Fitness reported a strong third quarter in 2021, marked by revenue growth, increased system-wide sales, and franchise license sales.

Xponential Fitness, Inc. reported a 60% increase in revenue to $40.9 million compared to Q3 2020. The company also saw a 93% increase in North American system-wide sales and a 65% growth in North American same-store sales. The company sold 248 franchise licenses and opened 68 new studios during the quarter.

  • Revenue grew by 60% year-over-year to $40.9 million.
  • North American system-wide sales increased by 93% year-over-year to $192.4 million.
  • North American same-store sales grew by 65% from the prior-year period.
  • The company opened 68 new studios and sold 248 franchise licenses.

Headline financials

Total Revenue

$40.9M

Previous: $25.6M+59.8%
EPS (adj)

-$0.31

Previous: -$0.08-278.6%
North America System-Wide Sales

$192M

Previous: $0.00
North America Same Store Sales Growth

65.0%

Previous: 0.0%
Gross New Studio Openings

68

Previous: 0
Capital Expenditures

-$2.6M

No prior period
Free Cash Flow

-$6.66M

No prior period
Net Income

-$4.06M

Previous: -$1.88M-115.4%
Operating Income

-$3.29M

Previous: $2.72M-220.8%
Gross Profit

$26.2M

Previous: $16.2M+62.1%
Cash & Equivalents

$25.5M

No prior period
Total Assets

$363M

No prior period
Stock-Based Comp

$3.53M

No prior period

Revenue & EPS history

Xponential Fitness · Revenue · Quarterly

$40.9M

Q3 2021+59.8%vs Q3 2020
Beat estimate in 5 of 12 quarters(42%)
ActualEstimate

Revenue by segment

Xponential Fitness · $80.4M total across 5 segments · Q3 2023

  • Franchise Revenue
    $36.4M+21.4%
  • Other Service Revenue
    $16M+52.0%
  • Equipment Revenue
    $12.6M+6.7%
  • Merchandise Revenue
    $8.46M+35.0%
  • Franchise Marketing Fund Revenue
    $6.95M+34.3%

Forward guidance

Based on current business conditions, the BFT acquisition, and future expectations as of the date of this release, the Company is increasing its outlook for the fiscal year ending December 31, 2021.

Tailwinds

  • New studio openings in the range of 230 to 250
  • North America system-wide sales in the range of $690.0 million to $700.0 million, or an increase of 57% at the midpoint as compared to full year 2020
  • Revenue in the range of $147.0 million to $148.5 million, or an increase of 39% at the midpoint as compared to full year 2020
  • Adjusted EBITDA in the range of $25.0 million to $26.0 million, or an increase of 160% at the midpoint as compared to full year 2020
  • Tax rate of approximately 5%

Headwinds

  • Risk of further restrictions imposed as a result of the COVID-19 pandemic
  • Government mandated studio closures
  • Potential shares vested by Rumble through the contingent consideration
  • Non-cash contingent liability due to Rumble
  • Share count does not include potential future shares vested upon achieving certain earn-out thresholds

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 17 quarterly earnings reports · overlaid with Q3 2021

Historical avgQ3 2021

-2.5%

Avg return

Earnings day

-0.5%

Avg return

5 days after

+2.8%

Avg return

30 days after

37%

7 / 19 earnings

Positive

+44.3%

Q4 2023

Best reaction

-47.2%

Q4 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-14.4%-22.0%
Q4 2025-47.2%-31.3%-28.6%
Q3 2025+1.4%+1.1%+12.4%
Q1 2025-7.5%+13.0%+9.1%
Q4 2024-38.4%-29.4%-39.4%
Q3 2024-3.5%+0.7%-2.4%
Q2 2024-23.5%-19.3%-24.8%
Q1 2024+3.8%-20.8%-7.0%
Q4 2023+44.3%+38.9%+69.8%
Q3 2023-3.2%-8.0%-15.7%
Q2 2023-7.3%-6.0%+5.3%
Q1 2023-8.8%-11.7%-20.2%
Q4 2022+15.5%+16.1%+19.7%
Q3 2022+15.2%+21.9%+22.1%
Q2 2022+19.4%+26.7%+23.0%
Q1 2022-9.9%+1.9%-2.1%
Q4 2021-7.1%-7.8%+12.5%
Q3 2021+24.5%+22.2%+16.2%
Q2 2021-1.2%+3.6%+0.1%
Q4 2020
Q3 2020
Q2 2020
Q1 2020

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