SAN DIEGO, March 5, 2024 (GLOBE NEWSWIRE) — Shareholder rights law firm Johnson Fistell LLP announces the commencement of a class action lawsuit on behalf of investors in Xponential Fitness (“Xponential” or the “Company”). did. 
XPOF. This class action lawsuit is brought on behalf of shareholders who purchased or acquired securities between July 26, 2021 and December 7, 2023. Investors are advised of the following deadlines: April 9, 2024 To move the court as lead plaintiff in this lawsuit.
of exponential The class action alleges that throughout the Class Period, Defendants made false and/or misleading statements and/or failed to disclose: (i) Xponential has permanently closed at least 30 stores; (ii) Xponential’s reported same-store sales (“SSS”) and average unit sales (“AUV”) metrics were misstated by excluding underperforming stores; (iii) 8 of his 10 Xponential brands were losing money every month. (iv) more than 50% of his Xponential studios are not generating positive financial returns; (v) over 60% of his Xponential revenue was one-time and non-recurring; (vi) over 100 of his Xponential franchises were sold for at least 75% less than their initial cost; (vii) Xponential deceived numerous franchisees into opening franchises by misrepresenting the studio’s financial condition and profitability and the expected rate of return on opening new studios; (viii) Many of the Xponential franchisees were operating unviable studios that were heavily in debt, suffered from high turnover rates, and had no realistic path to profitability. When the true details entered the market, the lawsuit claims investors suffered damages.
If you would like to review the complaint and join the class action lawsuit, please click the link below for more information.
Click here to submit your information
There is no cost or obligation to you.
What investors can do: Shareholders who suffered a loss during the Class Period will be entitled to April 9, 2024, moves the court to become the lead plaintiff in this lawsuit. The lead plaintiff will direct the class action on behalf of all other class members. The lead plaintiff may choose a law firm to handle the class action. Investors’ ability to share in any potential future recoveries in a class action lawsuit is independent of whether they serve as lead plaintiff.
About Johnson Fistel LLP:
Johnson Fistel, LLP is a nationally recognized shareholder rights law firm with offices in California, New York, Georgia, and Colorado. Our firm represents individual and institutional investors in shareholder derivative actions and securities class actions. For more information about the firm and its attorneys, please visit http://www.johnsonfistel.com.
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