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A Leading Global Franchisor of Boutique Health & Wellness Brands Q1 2025 FINANCIAL RESULTS As of March 31, 2025 Reported on May 8, 2025
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2 LEGAL DISCLAIMER The information contained in this presentation is provided solely for the purpose of acquainting the readers with Xponential Fitness, Inc. (the “Company,” “Xponential” or “we”) and its business operations, strategies and financial performance. This presentation and any accompanying oral statements is not an offer to sell nor is it a solicitation of any offer to buy any securities and conveys no right, title or interest in the Company or the products of its business activities. Nothing in this presentation constitutes an offer of securities for sale in any jurisdiction where it is unlawful to do so. This presentation does not constitute an offering of securities that will be registered or qualified under the Securities Act of 1933, any United States state securities or “blue sky” laws of the securities laws of any other jurisdiction. Cautionary Note Regarding Forward-Looking Statements This presentation contains forward-looking statements that are based on current expectations, estimates, forecasts and projections of future performance based on management’s judgment, beliefs, current trends, and anticipated financial performance. These forward-looking statements include, without limitation, statements relating to expected growth of our business; projected number of new studio openings; profitability; the expected impact of our movement away from company-owned transition studios; anticipated industry trends; projected financial and performance information such as system-wide sales; projected annual revenue, Adjusted EBITDA and other statements on the slide “FY 2025 Guidance”, our competitive position in the boutique fitness industry and broader health and wellness trends; our efforts to optimize our capital structure, and ability to execute our business strategies and our strategic growth drivers. Forward-looking statements involve risks and uncertainties that may cause actual results to differ materially from those contained in the forward-looking statements. These factors include, but are not limited to, the outcome of ongoing and any future government investigations and litigation to which we are subject; our ability to retain key senior management and key employees, our relationships with master franchisees, franchisees and international partners; difficulties and challenges in opening studios by franchisees; the ability of franchisees to generate sufficient revenues; risks relating to expansion into international markets; loss of reputation and brand awareness; geopolitical uncertainty, including the impact of presidential administration in the U.S. trade policies and tariffs; general economic conditions and industry trends; and other risks as described in our SEC filings, including our Annual Report on Form 10-K for the full year ended December 31, 2024 filed by Xponential with the SEC and other periodic reports filed with the SEC. Other unknown or unpredictable factors or underlying assumptions subsequently proving to be incorrect could cause actual results to differ materially from those in the forward-looking statements. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, level of activity, performance, or achievements. You should not place undue reliance on these forward-looking statements. All information provided in this presentation is as of today’s date, unless otherwise stated, and Xponential undertakes no duty to update such information, except as required under applicable law. Market Data and Non-GAAP Financial Measures This presentation includes statistical and other industry and market data that we obtained from industry publications and research, surveys, studies and other similar third-party sources, as well as our estimates based on such data and on our internal sources. Such data and estimates involve a number of assumptions and limitations, and you are cautioned not to give undue weight to such data and estimates. We believe that the information from these third-party sources is reliable; however, we have not independently verified them, we make no representation as to their accuracy or completeness and we do not undertake to updatethe data from such sources after the date of this presentation. Further, our business and the industry in which we operate is subject to a high degree of risk and uncertainty, which could cause results to differ materially from those expressed in the estimates made by the third-party sources and by us. In addition to our results determined in accordance with GAAP, we believe non-GAAP financial measures are useful in evaluating our operating performance. We use certain non-GAAP financial information in this presentation, such as EBITDA, Adjusted EBITDA and adjusted net income (loss), and adjusted net earnings (loss) per share, which exclude certain non-operating or non-recurring items, including but not limited to, equity-based compensation and related employer payroll taxes, acquisition and transaction expenses (income) (including change in contingent consideration and transaction bonuses), litigation expenses (consisting of legal and related fees for specific proceedings that arise outside of the ordinary course of our business), fees for financial transactions, such as secondary public offering expenses for which we do not receive proceeds (including bonuses paid to executives related to completion of such transactions) and other contemplated corporate transactions, expense related to the remeasurement of our TRA obligation, expense related to loss on impairment or write down of goodwill and other assets, loss (gain) and ongoing expenses related to brand divestitures and wind down (including ongoing expenses directly related to the divested or wound down brands for arrangements that existed prior to divestiture or wind down), transformation initiative costs (primarily consisting of third-party professional consulting fees related to modifications of our business strategy and cost saving initiatives), and restructuring and related charges incurred in connection with our restructuring plan that we do not believereflect our underlying business performance and affect comparability, to evaluate our ongoing operations and for internal planning and forecasting purposes. We believe that non-GAAP financial information, when taken collectively with comparable GAAP financial measures, is helpful to investors because it provides consistency and comparability with past financial performance and provides meaningful supplemental information regarding our performance by excluding certain items that may not be indicative of our business, results of operations or outlook. However, non-GAAP financial information is presented for supplemental informational purposes only, has limitations as an analytical tool, and should not be considered in isolation or as a substitute for financial information presented in accordance with GAAP. In addition, other companies, including companies in our industry, may calculate similarly titled non-GAAP measures differently or may use other measures to evaluate their performance, all of which could reduce the usefulness of our non-GAAP financial measures as tools for comparison. We seek to compensate such limitations by providing a detailed reconciliation for the non-GAAP financial measures to the most directly comparable financial measures stated in accordance with GAAP. Investors are encouraged to review the related GAAP financial measures and the reconciliation of the non-GAAP financial measures to their most directly comparable GAAP financial measures and not rely on any single financial measure to evaluate our business. In addition, we are not able to provide a quantitative reconciliation of the estimated full-year Adjusted EBITDA for fiscal yearending December 31, 2025 without unreasonable efforts to the most directly comparable GAAP financial measure due to the high variability, complexity and low visibility with respect to certain items such as taxes, TRA remeasurements, and income and expense from changes in fair value of contingent consideration from acquisitions. We expect the variability of these items to havea potentially unpredictable and potentially significant impact on future GAAP financial results, and, as such, we also believe that any reconciliations provided would imply a degree of precision that would be confusing or misleading to investors.
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3 HEALTH & WELLNESS BRANDS — Q1 2025 Earnings Call Q1 2025 Key Operating Metrics(1) System-Wide Sales (2) $467M +18% YoY Run-Rate AUV(3) $659K +8% YoY 1) YoY comparison refers to Q1 2024. System-wide sales and Run-Rate AUV represents North America only. 2) System-wide sales represents gross sales by all North America-based studios. We receive approximately 7% and 2% of the sales by franchisees as royalty revenue and marketing fund revenue, respectively. 3) Quarterly AUV (run rate) consists of average quarterly sales for all traditional studio locations in North America that had opened at least six calendar months ago as of the beginning of the respective quarter, and that have non-zero sales in the respective quarter (including nominal or negative sales figures; the only figures excluded are exact $0 amounts in the quarter), multiplied by four.
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4 HEALTH & WELLNESS BRANDS — Q1 2025 Earnings Call Q1 2025 Key Operating Metrics(1) Total Members 865K +12% YoY Same-Store- Sales(2) +4% Greater Than 36 Months +5% 1) YoY comparison refers to Q1 2024. Total members and same store sales represents North America only. 2) Same store sales refer to period-over-period sales comparisons for the base of studios. We define the same store sales base to include monthly sales for any traditional studio location in North America. If the studio has generated at least 13 months of consecutive positive sales and opened at least 13 calendars months ago as of any month within the measurement period, the respective comparable months will be included. Please see the Company’s 10-Q SEC filing for the period ended 3/31/2025 for more detail.
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5 Mark King CEO Joined Xponential in June 2024 45 Years of Industry Experience John Meloun CFO 6 Years at Xponential 26 Years of Industry Experience John Kawaja President, North America Joined Xponential in October 2024 36 Years of Industry Experience Andrew Hagopian CLO 2 Years at Xponential 20 Years of Industry Experience Strengthening Leadership to Optimize Operations Tim Weiderhoft COO Joined Xponential in January 2025 25 Years of Industry Experience Kevin Beygi CTO Joined Xponential in January 2025 20 Years of Industry Experience Louise Ocasian CMO Joined Xponential in April 2025 25 Years of Industry Experience Fabienne Lopez CHRO Joined Xponential in January 2025 25 Years of Industry Experience
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6 HEALTH & WELLNESS BRANDS — Q1 2025 Earnings Call Brand States Pending Approval BFT CA, MD, NY, WA Club Pilates CA, IL, MD, NY, VA, WA CycleBar CA, MD, WA Pure Barre CA, MD, WA Rumble CA, MD, NY, WA Stretch Lab CA, MD, MN, NY, VA, WA Yoga 6 CA, MD, NY, WA 36 States Non-Registration States 14 States Require Registration Actively Selling Across States Actively Selling in Majority of States FDD Approval Status * Lindora 2025 FDD not yet finalized
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7 HEALTH & WELLNESS BRANDS — Q1 2025 Earnings Call Q1 2025 Key Operating Metrics(1) 1) YoY comparison refers to Q1 2024. Global Studios 3,298 +7% YoY Global Licenses 6,286 +4% YoY
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8 HEALTH & WELLNESS BRANDS — Q1 2025 Earnings Call Q1 2025 Key Operating Metrics(1) Adj. EBITDA $27M (9)% YoY Revenue $77M (4)% YoY Note: We define adjusted EBITDA as EBITDA (net income/loss before interest, taxes, depreciation and amortization), adjusted for the impact of certain non-cash and other items that we do not consider in our evaluation of ongoing operating performance. These items include equity- based compensation and related employer payroll taxes, acquisition and transaction expenses (income) (including change in contingent consideration and transaction bonuses), litigation expenses (consisting of legal and related fees for specific proceedings that arise outside of the ordinary course of our business), fees for financial transactions, such as secondary public offering expenses for which we do not receive proceeds (including bonuses paid to executives related to completion of such transactions) and other contemplated corporate transactions, expense related to the remeasurement of our TRA obligation, expense related to loss on impairment or write down of goodwill and other assets, loss (gain) and ongoing expenses related to brand divestitures and wind down (including ongoing expenses directly related to the divested or wound down brands for arrangements that existed prior to divestiture or wind down), transformation initiative costs (primarily consisting of third-party professional consulting fees related to modifications of our business strategy and cost saving initiatives), and restructuring and related charges incurred in connection with our restructuring plan that we do not believe reflect our underlying business performance and affect comparability. 1) YoY comparison refers to Q1 2024.
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9 HEALTH & WELLNESS BRANDS — Q1 2025 Earnings Call In $ thousands, except per share amounts Q1 2025 Q1 2024 $ Difference % Change System-wide Sales (North America) $466,797 $396,444 $70,352 18% Revenue, net: Franchise revenue $43,894 $41,754 $2,140 5% Equipment revenue $11,104 $13,900 ($2,796) (20%) Merchandise revenue $6,255 $8,345 ($2,090) (25%) Franchise marketing fund revenue $9,269 $7,832 $1,437 18% Other service revenue $6,361 $7,862 ($1,501) (19%) Total revenue, net $76,883 $79,693 ($2,810) (4%) Operating costs and expenses: Costs of product revenue $11,972 $14,566 ($2,594) (18%) Costs of franchise and service revenue $4,097 $5,047 ($950) (19%) Selling, general and administrative expenses $45,545 $36,620 $8,925 24% Impairment of goodwill and other noncurrent assets $1,915 $0 $1,915 100% Depreciation and amortization $2,956 $4,436 ($1,480) (33%) Marketing fund expense $9,357 $6,515 $2,842 44% Acquisition and transaction expenses (income) ($8,638) $4,515 ($13,153) (291%) Total operating costs and expenses $67,204 $71,699 ($4,495) (6%) Operating income $9,679 $7,994 $1,685 21% Net loss ($2,659) ($3,750) $1,091 (29%) Net loss per basic share of Class A common stock ($0.10) ($0.29) $0.19 (66%) Income Statement
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10 HEALTH & WELLNESS BRANDS — Q1 2025 Earnings Call Adjusted Net Earnings (Loss) per Share Note: The above adjusted net earnings (loss) per share is computed by dividing the adjusted net income (loss) attributable to holders of Class A common stock by the weighted average shares of Class A common stock outstanding during the period. Total share count does not include potential future shares vested upon achieving certain earn-out thresholds. Net income, however, continues to take into account the non-cash contingent liability primarily due to Rumble. In thousands, except per share amounts Q1 2025 Q1 2024 Net loss ($2,659) ($3,750) Acquisition and transaction expenses (income) ($8,638) $4,515 TRA remeasurement $1,084 $609 Impairment of goodwill and other noncurrent assets $1,915 $0 Loss (gain) and ongoing expenses due to brand divestitures and wind down (excluding impairments) $81 ($58) Restructuring and related charges (excluding impairments) $555 $7,885 Adjusted net income (loss) ($7,662) $9,201 Adjusted net income (loss) attributable to noncontrolling interest ($2,291) $3,184 Adjusted net income (loss) attributable to Xponential Fitness, Inc. ($5,371) $6,017 Dividends on preferred shares ($1,330) ($1,218) Adjusted earnings (loss) per share - basic numerator ($6,701) $4,799 Add: Adjusted net income attributable to noncontrolling interest $0 $3,184 Add: Dividends on preferred shares $0 $1,218 Adjusted earnings (loss) per share - diluted numerator ($6,701) $9,201 Adjusted net earnings (loss) per share - basic ($0.20) $0.15 Adjusted net earnings (loss) per share - diluted ($0.20) $0.17
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11 HEALTH & WELLNESS BRANDS — Q1 2025 Earnings Call Adjusted EBITDA Note: We define adjusted EBITDA as EBITDA (net income/loss before interest, taxes, depreciation and amortization), adjusted for the impact of certain non-cash and other items that we do not consider in our evaluation of ongoing operating performance. These items include equity- based compensation and related employer payroll taxes, acquisition and transaction expenses (income) (including change in contingent consideration and transaction bonuses), litigation expenses (consisting of legal and related fees for specific proceedings that arise outside of the ordinary course of our business), fees for financial transactions, such as secondary public offering expenses for which we do not receive proceeds (including bonuses paid to executives related to completion of such transactions) and other contemplated corporate transactions, expense related to the remeasurement of our TRA obligation, expense related to loss on impairment or write down of goodwill and other assets, loss (gain) and ongoing expenses related to brand divestitures and wind down (including ongoing expenses directly related to the divested or wound down brands for arrangements that existed prior to divestiture or wind down), transformation initiative costs (primarily consisting of third-party professional consulting fees related to modifications of our business strategy and cost saving initiatives), and restructuring and related charges incurred in connection with our restructuring plan that we do not believe reflect our underlying business performance and affect comparability. In $ thousands Q1 2025 Q1 2024 Net loss ($2,659) ($3,750) Interest expense, net $10,769 $11,182 Income taxes (benefit) $485 ($47) Depreciation and amortization $2,956 $4,436 EBITDA $11,551 $11,821 Equity-based compensation $3,281 $3,942 Employer payroll taxes related to equity-based compensation $115 $313 Acquisition and transaction expenses (income) ($8,638) $4,515 Litigation expenses $16,189 $698 Financial transaction fees and related expenses $303 $195 TRA remeasurement $1,084 $609 Impairment of goodwill and other noncurrent assets $1,915 $0 Loss (gain) and ongoing expenses due to brand divestitures and wind down (excluding impairments) $81 ($58) Transformation initiative costs $889 $0 Restructuring and related charges (excluding impairments) $555 $7,885 Adjusted EBITDA $27,325 $29,920 Margin 36% 38%
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12 HEALTH & WELLNESS BRANDS — Q1 2025 Earnings Call FY 2025 Guidance Note: We define adjusted EBITDA as EBITDA (net income/loss before interest, taxes, depreciation and amortization), adjusted for the impact of certain non-cash and other items that we do not consider in our evaluation of ongoing operating performance. These items include equity- based compensation and related employer payroll taxes, acquisition and transaction expenses (income) (including change in contingent consideration and transaction bonuses), litigation expenses (consisting of legal and related fees for specific proceedings that arise outside of the ordinary course of our business), fees for financial transactions, such as secondary public offering expenses for which we do not receive proceeds (including bonuses paid to executives related to completion of such transactions) and other contemplated corporate transactions, expense related to the remeasurement of our TRA obligation, expense related to loss on impairment or write down of goodwill and other assets, loss (gain) and ongoing expenses related to brand divestitures and wind down (including ongoing expenses directly related to the divested or wound down brands for arrangements that existed prior to divestiture or wind down), transformation initiative costs (primarily consisting of third-party professional consulting fees related to modifications of our business strategy and cost saving initiatives), and restructuring and related charges incurred in connection with our restructuring plan that we do not believe reflect our underlying business performance and affect comparability. We are not able to provide a quantitative reconciliation of the estimated full-year Adjusted EBITDA for fiscal year ending December 31, 2025, without unreasonable efforts to the most directly comparable GAAP financial measure due to the high variability, complexity and low visibility with respect to certain items such as taxes, TRA remeasurements, and income and expense from changes in fair value of contingent consideration from acquisitions. We expect the variability of these items to have a potentially unpredictable and potentially significant impact on future GAAP financial results, and, as such, we also believe that any reconciliations provided would imply a degree of precision that would be confusing or misleading to investors. ($ in millions) Low Range Guidance High Range Guidance 2024 (as reported) % Change vs 2024 at Midpoint Net New Studio Openings (Global) 160 180 239 -29% System-wide Sales (North America) $1,935 $1,955 $1,714 13% Revenue $315.0 $325.0 $320 0% Adjusted EBITDA $120.0 $125.0 $116 5%
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13 Q&A Please see the FAQ section at investor.xponential.com for a list of commonly asked questions on our corporate structure and capitalization.