Apple Watch interface for a Club Pilates workout reminder

Apple Watch interface for a Club Pilates workout reminder

Shares of Xponential Fitness Inc. (NYSE: XPOF) climbed in after-hours trading Thursday, after the Irvine fitness franchisor increased its guidance for the year.

The company is now estimating systemwide sales for the year to be in the range of $690 million to $700 million. Company revenue is expected to be $147 million to $148.5 million, up from a prior estimate of $135.5 million to $137 million.

Xponential also said between 230 and 250 studios are set to be opened this year after originally guiding for growth of 215 to 235 locations.

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Shares of the company were up nearly 13% in after hours to $22.03 for a market cap of $926.5 million. Xponential began trading in July at $12 a share. 

The revised estimates followed Xponential’s third-quarter results, which included revenue of $40.9 million, up 60% from the prior year and beating consensus estimates of nearly $34 million.

Xponential reported an adjusted net loss of $5.8 million, narrowed from $7 million a year ago. Analysts had expected a net loss of $2.7 million.

Xponential, which owns a portfolio of 10 boutique fitness brands, said it saw 68 openings in the quarter and now counts 1,907 locations. It sold an additional 248 licenses, which was up from 50 a year ago.