Boutique fitness studio franchisor Xponential Fitness (NYSE:XPOF) will be announcing earnings results this Thursday after market hours. Here’s what you need to know.
Xponential Fitness beat analysts’ revenue expectations by 1% last quarter, reporting revenues of $76.88 million, down 3.5% year on year. It was a mixed quarter for the company, with a solid beat of analysts’ adjusted operating income estimates but a significant miss of analysts’ EPS estimates.
Is Xponential Fitness a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Xponential Fitness’s revenue to grow 1.1% year on year to $77.35 million, a reversal from the 1.1% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.29 per share.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Xponential Fitness has missed Wall Street’s revenue estimates twice over the last two years.
Looking at Xponential Fitness’s peers in the consumer discretionary segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Hasbro’s revenues decreased 1.5% year on year, beating analysts’ expectations by 11.2%, and Rush Street Interactive reported revenues up 22.2%, topping estimates by 7.6%. Hasbro traded down 3.3% following the results while Rush Street Interactive was up 25.7%.
Read our full analysis of Hasbro’s results here and Rush Street Interactive’s results here.
Investors in the consumer discretionary segment have had steady hands going into earnings, with share prices up 1.6% on average over the last month. Xponential Fitness is up 9.2% during the same time and is heading into earnings with an average analyst price target of $13.78 (compared to the current share price of $10.30).
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