Xponential Fitness Signs Master Franchise Agreement in Portugal for Club Pilates

Rhea-AI Summary

Xponential Fitness (NYSE: XPOF) has signed a Master Franchise Agreement in Portugal for its Club Pilates brand. This venture allows the franchisee to open at least 20 studios over a decade. Currently, Club Pilates operates six studios in Spain and has agreements for expansion in the UK and Germany. The European fitness industry, valued at over $30 billion annually, presents significant growth potential. Research indicates the Pilates and yoga studio market could reach $49.4 million by 2027, growing at a CAGR of 13.05% from 2021.

Positive

• Signing a Master Franchise Agreement in Portugal allows for the development of a minimum of 20 Club Pilates studios over the next 10 years.
• Expands Xponential Fitness's presence in Europe, following successful operations in Spain and agreements in the UK and Germany.
• The European fitness market generates over $30 billion annually, offering substantial growth opportunities.
• The Pilates and yoga studio market in Europe is projected to grow to $49.4 million by 2027 at a CAGR of 13.05%.

Negative

• None.

World’s Largest Pilates Brand Will Further Expand Its Presence in Europe

IRVINE, Calif.--(BUSINESS WIRE)-- Xponential Fitness, Inc. (NYSE: XPOF) announced today it has signed a Master Franchise Agreement in Portugal for its Club Pilates brand. The agreement, signed with Porto-based Mitrinha & Libelinha, Lda., gives the Master Franchisee the opportunity to license a minimum of 20 Club Pilates studios in Portugal over the next 10 years. The Master Franchise partners bring extensive experience scaling globally-recognized consumer retail brands in Portugal.

With six Club Pilates studios currently operating in neighboring Spain and development agreements in place for the UK and Germany, the Portugal deal represents a further extension of Xponential’s reach across Europe. According to data from the International Health, Racquet & Sportsclub Association, the European fitness industry generates more than $30 billion annually, second only to North America, making it a priority region for Xponential’s international expansion. Recent findings from an Allied Market Research report showed that the European Pilates & yoga studios market size is projected to reach $49.4 million by 2027, growing at a CAGR of 13.05% from 2021 to 2027.

“The Portuguese fitness market is vibrant and growing, and Club Pilates is an ideal brand to launch in the market as interest in boutique fitness grows and as our business in Spain accelerates,” said John Kersh, Chief International Development Officer of Xponential Fitness. “We look forward to working with our partners in Portugal as we bring Club Pilates to even more customers across Europe.”

The agreement marks the continued expansion of Xponential Fitness outside North America. The company currently has multiple brands’ studios operating or in development in 16 countries across North America, Europe, Asia, and Australia. Most recently in 2022, Xponential signed master franchise agreements for Club Pilates in Mexico and the U.K., for CycleBar in Japan, and for Club Pilates, StretchLab, CycleBar, and Rumble in Kuwait.

Club Pilates is backed by Xponential Fitness, the largest global franchisor of boutique fitness brands which also include Pure Barre, Rumble, StretchLab, CycleBar, Row House, YogaSix, AKT, Body Fit Training, and STRIDE Fitness.

For more information about Xponential Fitness visit www.xponential.com.

ABOUT CLUB PILATES:

Founded in 2007, Club Pilates is the largest Pilates brand by number of studios, designed with the vision of making Pilates more accessible, approachable and welcoming to everyone. Based in Irvine, CA, Club Pilates has appeared in both Entrepreneur Magazine's Franchise 500 and Fastest-Growing Franchises six years running, and Inc. Magazine's Inc. 5000 lists multiple times. Club Pilates offers extensive training certification for its instructors. Its 500-hour training program includes instruction on Pilates, barre, Triggerpoint, and TRX Suspension Trainers. Club Pilates is headquartered in Irvine, CA and backed by Xponential Fitness, the largest franchisor of boutique fitness brands. To learn more about Club Pilates, visit https://www.clubpilates.com.

ABOUT XPONENTIAL FITNESS:

Xponential Fitness, Inc. (NYSE: XPOF) is the largest global franchisor of boutique fitness brands. Through its mission to make boutique fitness accessible to everyone, the Company operates a diversified platform of ten brands spanning across verticals including Pilates, indoor cycling, barre, stretching, rowing, dancing, boxing, running, functional training and yoga. In partnership with its franchisees, Xponential offers energetic, accessible, and personalized workout experiences led by highly qualified instructors in studio locations across 48 U.S. states and Canada, and through master franchise or international expansion agreements in 14 additional countries. Xponential Fitness' portfolio of brands includes Club Pilates, the nation's largest Pilates brand; CycleBar, the nation's largest indoor cycling brand; StretchLab, the largest assisted stretching brand in the United States; Row House, a high-energy, low-impact indoor rowing workout; AKT, a dance-based cardio workout combining toning, interval and circuit training; YogaSix, the largest franchised yoga brand; Pure Barre, a total body workout that uses the ballet barre to perform small isometric movements; STRIDE, a treadmill-based cardio and strength training concept; Rumble, a boxing-inspired full-body workout; and BFT, a functional training, and strength-based program. For more information, please visit the Company’s website at https://xponential.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20221104005145/en/

David Robertson, Fishman Public Relations, drobertson@fishmanpr.com or 847-945-1300

Source: Xponential Fitness, Inc.

FAQ

What recent expansion did Xponential Fitness (XPOF) announce?

Xponential Fitness announced a Master Franchise Agreement in Portugal for its Club Pilates brand, enabling the opening of at least 20 studios over the next 10 years.

How many Club Pilates studios are currently operating in Spain?

There are currently six Club Pilates studios operating in Spain.

What is the projected market size for Pilates and yoga studios in Europe by 2027?

The European Pilates and yoga studios market is projected to reach $49.4 million by 2027, growing at a CAGR of 13.05%.

What does the Master Franchise Agreement in Portugal signify for XPOF?

It signifies XPOF's commitment to expanding its presence in Europe and capitalizing on the growing interest in boutique fitness.

What is the significance of the European fitness industry for XPOF?

The European fitness industry is valued at over $30 billion annually, making it a key region for XPOF's international expansion.