Restructuring (Tables)

9 Months Ended

Sep. 30, 2025

Restructuring and Related Activities [Abstract]

Schedule of Components of Restructuring Charges

The components of the restructuring charges were as follows:


	Three months ended September 30,					Nine months ended September 30,
	2025			2024		2025		2024
Impairment and accelerated amortization of right-of-use assets	$	4,104		$	4,323	$	6,577	$	4,323
Contract termination and other associated costs		(189	)		127		444		732
Loss on lease terminations and sale or disposal of assets, net (1)		1,506			5,416		1,932		10,033
Other restructuring costs		847			2,319		1,244		6,341
Total restructuring charges, net	$	6,268		$	12,185	$	10,197	$	21,429

(1)

Loss on lease termination and sale or disposal of assets represents net losses on studio lease terminations and sales or disposal of studio assets primarily related to studio property and equipment. Amount for the three and nine months ended September 30, 2025 is net of, among other things, a $4,448 and $5,142 gain, respectively, on lease termination related to a lease for which the Company had previously recognized an impairment on the related right-of-use asset. Amount for the three and nine months ended September 30, 2024 is net of, among other things, a $0 and $4,057 gain, respectively, on lease termination related to a lease for which the Company had recognized accelerated right-of-use asset amortization.

The restructuring charges are recorded within the following financial statement captions on the Company’s condensed consolidated statements of operations:


	Three months ended September 30,				Nine months ended September 30,
	2025		2024		2025		2024
Costs of product revenue	$	—	$	—	$	—	$	113
Selling, general and administrative expenses		2,164		7,862		3,620		16,993
Impairment of goodwill and other noncurrent assets		4,104		4,323		6,577		4,323
Total restructuring charges, net	$	6,268	$	12,185	$	10,197	$	21,429

Schedule of Changes in Restructuring Charges

The following table provides the components of and changes in the Company’s restructuring charges, included in accounts payable and accrued expenses on the condensed consolidated balance sheets:



Balance at December 31, 2024	$	5,235
Charges incurred		3,845
Payments		(6,164	)
Balance at September 30, 2025	$	2,916

Xponential Fitness, Inc. 10-Q