Xponential Fitness Posts 21% Drop in Q1 Revenue

Xponential Fitness Inc. on Thursday reported first quarter revenue dropped 21% year-over-year to $61 million.  

The fitness studio franchisor’s North America system-wide sales rose 2% to $437 million and same-store sales decreased 6%. 

“The decline in total revenue was expected and driven primarily by strategic divestitures, fewer equipment installations, and lower merchandise revenue,” the Irvine-based company said in a May 7 statement.  

In 2025, Xponential completed three divestitures of Lindora, Rumble and CycleBar. The brand counted 11 different fitness and wellness concepts at one point; five remain.  

Equipment revenue was down 61% and merchandise revenue fell 90% in Q1.  

“As we look ahead, our focus is on restoring sustainable organic growth through a more disciplined framework,” Chief Executive Mike Nuzzo said. “This includes stabilizing top-of-funnel lead generation, improving lead-to-member conversion, and optimizing pricing and membership structures over time, all while continuing to support retention through class innovation, studio remodel programs, and clear brand positioning.”  

The board in April announced it will evaluate strategic alternatives for Xponential such as a sale or merger.  

Shares of Xponential fell 15% to $5.55 and a $297 million market cap the day following the report (NYSE: XPOF).  

Updated May 8