Sam Boughedda

Investing.com — A fitness company Xponential Fitness After reporting a loss on Thursday, the NYSE: posted a drop of over 8%.

Company, which is the owner of brands like CycleBar and Club Pilates, reported a profit per share of $0.19 Investing.com analysts expected that the company would post a $0.11 profit per share.

Company stated that the loss was caused by $14 million more overall profitability and $9.4 million in increased non-cash contingent consideration, mainly due to Rumble’s acquisition. According to the company, there was also an additional $15 million in non-cash equity-based compensatory expense.

The company’s revenue was $50.36million, which is higher than the expected $45.23 million. 

Xponential has opened 99 new studios since the beginning of the quarter and sold 260 franchise licences. 

“On the heels of a very strong fourth quarter, Xponential Fitness entered 2022 with great momentum,” said Anthony Geisler, CEO of Xponential Fitness.

We opened 99 studios in the first quarter. This brings our global total of studios to 2,229. In addition, our North America actively paying members and visitation rates each grew 17% in the first quarter of 2022 versus the fourth quarter of 2021,” Geisler added.

Company reiterated its full-year 2022 guidance and expects revenue to range from $201 million – $211 million.