Xponential Fitness, Inc. (NYSE: XPOF) is a global leader in the franchising of boutique health and wellness brands. Headquartered in Irvine, California, XPOF operates within the Zacks Leisure and Recreation Services industry. The company offers a diverse portfolio of fitness brands, catering to a wide range of consumer preferences in the health and wellness sector.
On February 26, 2026, XPOF reported its earnings, revealing an EPS of -$0.93, which was significantly below the estimated EPS of -$0.03. This quarterly loss marks a substantial increase from the $0.18 per share loss reported in the same quarter last year. Despite this earnings miss, XPOF's revenue for the period was $82.96 million, surpassing the estimated revenue of $73.42 million.
XPOF's revenue performance exceeded expectations by 14.38%, although it was slightly lower than the $83.22 million reported in the same period the previous year. Over the past four quarters, XPOF has consistently surpassed consensus revenue estimates three times, demonstrating its ability to generate sales despite challenges in profitability.
The company's financial metrics reveal a negative price-to-earnings (P/E) ratio of approximately -7.43, indicating ongoing losses. The price-to-sales ratio of about 0.90 suggests that the market values the company's sales at less than its current market price. Additionally, the enterprise value to sales ratio is approximately 0.81, reflecting a relatively lower valuation when considering the company's debt and cash.
XPOF's financial health is further highlighted by its negative debt-to-equity ratio of about -0.05, indicating more liabilities than equity. The current ratio of approximately 0.82 suggests potential challenges in covering short-term liabilities with short-term assets. Despite these challenges, the enterprise value to operating cash flow ratio of around 9.06 reflects the company's ability to generate cash from its operations relative to its enterprise value.