F45 Files “Restated” Financials, Reports $372M Loss

F45 Training

F45 has had a rough couple of years.

What’s happening: Issuing its first financial snapshot since withholding its Q3’22 earnings, F45 Training quietly filed a “restated” 10K for 2021 and 2022.

  • Net losses were $178.8M in 2022 and $193.5M in 2021, totaling $372M.
  • In 2022, total revenue decreased 17% YoY to $104.4M.
  • F45 opened 312 and 351 studios in ’21 and ’22, respectively, down from 900+ in ’18.

A bright spot, the functional fitness brand signed a master franchise agreement with Club Sports Group last month, granting territory rights for 15 European countries while reassigning 175 existing franchises to the company.

But, the recent missteps have been costly — a result of “going dark,” F45 hasn’t sold any new US franchises since April 2023.

Dysfunctional fitness. Founded in 2013, the Australian-born studio grew into an international franchisor, reaching 3,633 licenses sold in 74 countries last year.

But, in pursuit of 23K global studios, the promise of hyper-growth outpaced actual studio openings, leading to layoffs, a shakeup of its leadership team, and class-action lawsuits.

Full circle. Trouble at home, studios in Australia, its most concentrated market, are starting to close. System-wide sales fell 3% YoY, while foot traffic dipped 15%. In 2022, franchise terminations were higher than franchises sold.

Meanwhile, in the US, visits and revenue actually improved. Attempting to get back on track, F45 intends to restart financial filings as early as November.

Punchline: As F45 attempts a turnaround, things could still get worse before they get better. But if it puts execution ahead of growth and returns to its original ethos—introducing people to ultra-effective training—the groundwork has literally already been laid.

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