Revenue performance remains weak with a 5.5% year-over-year decline in 2026Q1, while the company struggles to manage overhead, resulting in a -81.6% operating margin.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 |
|---|
| Sales/Revenue | 28.82M | 29.21M | 33.9M | 30.11M | 55.94M | 73.73M | 8.38M | 48.52M | 50.09M | 48.82M | 18.97M | 22.69M | 1.43M | 1.1M | 369K | 718K | 211K | 20K | 0 |
| Revenue Growth % | -10.46% | -13.83% | 12.58% | -46.18% | -24.13% | 779.3% | -82.72% | -3.15% | 2.6% | 157.32% | -16.37% | 1492.07% | 29.55% | 198.1% | -48.61% | 240.28% | 955% | - | - |
| Cost of Goods Sold | 21.32M | 22.57M | 24.98M | 26.43M | 43.89M | 41.38M | 11.98M | 37.85M | 39.45M | 39.34M | 12.82M | 19.35M | 25.37M | 21.59M | 12.51M | 155K | 180K | 31K | 0 |
| COGS % of Revenue | - | 77.25% | 73.69% | 87.77% | 78.46% | 56.13% | 142.91% | 78.03% | 78.75% | 80.58% | 67.56% | 85.3% | 1780.21% | 1962.73% | 3390.79% | 21.59% | 85.31% | 155% | - |
| Gross Profit | 7.51M | 6.64M | 8.92M | 3.68M | 12.05M | 32.34M | -3.6M | 10.66M | 10.64M | 9.48M | 6.16M | 3.33M | -23.94M | -20.49M | -12.14M | 563K | 31K | -11K | 0 |
| Gross Margin % | 26.04% | 22.75% | 26.31% | 12.23% | 21.54% | 43.87% | -42.91% | 21.97% | 21.25% | 19.42% | 32.44% | 14.7% | -1680.21% | -1862.73% | -3290.79% | 78.41% | 14.69% | -55% | - |
| Gross Profit Growth % | - | -25.51% | 142.3% | -69.45% | -62.75% | 998.94% | -133.75% | 0.17% | 12.27% | 54.02% | 84.61% | 113.92% | -16.85% | -68.74% | -2256.84% | 1716.13% | 381.82% | - | - |
| Operating Expenses | 19.12M | 16M | 25.63M | 31.89M | 43.21M | 28.24M | 36.51M | 26.53M | 25.74M | 24.55M | 28.57M | 13.68M | 21.5M | 41.88M | 12.63M | 6.99M | 6.53M | 5.29M | 7.29M |
| OpEx % of Revenue | - | 54.78% | 75.6% | 105.91% | 77.25% | 38.3% | 435.37% | 54.69% | 51.38% | 50.29% | 150.58% | 60.29% | 1508.49% | 3807% | 3421.41% | 973.12% | 3092.89% | 26475% | - |
| Selling, General & Admin | 19.28M | 16M | 20.08M | 20.91M | 31.17M | 24.2M | 15.94M | 14.32M | 16.24M | 16.58M | 14.11M | 10.07M | 15.48M | 40.37M | 10.88M | 4.97M | 4.17M | 3.32M | 4.18M |
| SG&A % of Revenue | - | 54.78% | 59.24% | 69.45% | 55.72% | 32.82% | 190.1% | 29.51% | 32.42% | 33.95% | 74.36% | 44.39% | 1086.6% | 3669.55% | 2949.86% | 692.2% | 1975.83% | 16600% | - |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 681K | 92K | 889K | 1.51M | 1.74M | 2.02M | 2.36M | 1.98M | 3.11M |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - | - | 3.59% | 0.41% | 62.39% | 137.45% | 471.54% | 280.92% | 1117.06% | 9875% | - |
| Other Operating Expenses | -166K | 0 | 5.54M | 10.98M | 12.04M | 4.04M | 20.57M | 12.21M | 498K | -197K | 681K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Operating Income | -11.61M | -9.36M | -16.71M | -28.21M | -31.16M | 4.11M | -40.1M | -15.87M | -34.73M | -15.07M | -22.42M | -10.34M | -111.2M | -40.78M | -24.77M | -6.42M | -6.5M | -5.31M | -7.29M |
| Operating Margin % | -40.28% | -32.03% | -49.29% | -93.68% | -55.71% | 5.57% | -478.28% | -32.72% | -69.32% | -30.87% | -118.15% | -45.59% | -7803.23% | -3707% | -6712.2% | -894.71% | -3078.2% | -26530% | - |
| Operating Income Growth % | - | 44% | 40.77% | 9.49% | -858.78% | 110.24% | -152.67% | 54.29% | -130.38% | 32.76% | -116.71% | 90.7% | -172.69% | -64.64% | -285.55% | 1.09% | -22.41% | 27.2% | - |
| EBITDA | -9.99M | -7.58M | -15.77M | -24.66M | -25.73M | 7.31M | -32.88M | -8.43M | -25.23M | -8.23M | -21.1M | -6.83M | -107.17M | -35.56M | -22.27M | -6.36M | -6.41M | -5.19M | -7.18M |
| EBITDA Margin % | -34.65% | -25.94% | -46.52% | -81.9% | -46% | 9.91% | -392.12% | -17.38% | -50.36% | -16.85% | -111.2% | -30.1% | -7520.91% | -3232.45% | -6034.42% | -886.21% | -3036.97% | -25965% | - |
| EBITDA Growth % | 34.77% | 51.94% | 36.05% | 4.17% | -452.13% | 122.23% | -289.84% | 66.57% | -206.6% | 61% | -209.02% | 93.63% | -201.41% | -59.68% | -249.94% | 0.7% | -23.4% | 27.68% | - |
| D&A (Non-Cash Add-back) | 1.62M | 1.78M | 938K | 3.55M | 5.43M | 3.2M | 7.22M | 7.44M | 9.5M | 6.84M | 1.32M | 3.52M | 4.02M | 5.22M | 2.5M | 61K | 87K | 113K | 107K |
| EBIT | -18.09M | -15.94M | -12.1M | -19.3M | -24.55M | 4.94M | -24.75M | -17.78M | -34.08M | -15.27M | -17.58M | -9.53M | -45.44M | -40.78M | -22.37M | -5.86M | -5.6M | -5.46M | -7.03M |
| Net Interest Income | 474K | 527K | 201K | 127K | -78K | 0 | -2.08M | -2.9M | -1.83M | -731K | -1.7M | -2.59M | 0 | 0 | 0 | -1.52M | -4.3M | -617K | 0 |
| Interest Income | 603K | 661K | 380K | 448K | 384K | 0 | 1.83M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 129K | 134K | 179K | 321K | 462K | 0 | 1.83M | 2.9M | 1.83M | 731K | 1.7M | 2.59M | 0 | 0 | 0 | 1.52M | 4.3M | 617K | 157K |
| Other Income/Expense | -10.89M | -6.72M | 266K | 212K | -1.41M | -1.16M | -52.12M | -4.8M | -1.18M | -1.28M | -1.57M | -1.78M | 1.97M | -971K | 1.58M | -965K | -3.41M | -770K | -51K |
| Pretax Income | -22.5M | -16.08M | -16.44M | -27.99M | -32.57M | 2.95M | -92.22M | -20.68M | -35.91M | -16M | -24M | -12.12M | -109.22M | -41.75M | -20.79M | -7.39M | -9.91M | -6.08M | -7.34M |
| Pretax Margin % | -78.06% | -55.04% | -48.5% | -92.98% | -58.23% | 4% | -1099.88% | -42.62% | -71.68% | -32.77% | -126.5% | -53.44% | -7664.7% | -3795.27% | -5633.06% | -1029.11% | -4695.26% | -30380% | - |
| Income Tax | 29K | 29K | 49K | 35K | 55K | 56K | 7K | -146K | -278K | 111K | 13.64M | -866K | 0 | 0 | 55K | 90K | 35K | 73K | -7K |
| Effective Tax Rate % | -0.13% | -0.18% | -0.3% | -0.13% | -0.17% | 1.9% | -0.01% | 0.71% | 0.77% | -0.69% | -56.82% | 7.14% | 0% | 0% | -0.26% | -1.22% | -0.35% | -1.2% | 0.1% |
| Net Income | -23.45M | -16.99M | -16.85M | -27.74M | -32.84M | 3.35M | -90.49M | -21.22M | -37.2M | -28.84M | -24.01M | -11.16M | -109.68M | -52.43M | -20.84M | -7.48M | -9.94M | -6.15M | -7.33M |
| Net Margin % | -81.35% | -58.17% | -49.72% | -92.14% | -58.7% | 4.54% | -1079.17% | -43.75% | -74.27% | -59.07% | -126.52% | -49.18% | -7696.63% | -4766.64% | -5647.97% | -1041.64% | -4711.85% | -30745% | - |
| Net Income Growth % | -23.03% | -0.82% | 39.25% | 15.52% | -1080.5% | 103.7% | -326.37% | 42.96% | -29% | -20.14% | -115.17% | 89.83% | -109.18% | -151.59% | -178.66% | 24.77% | -61.68% | 16.13% | - |
| Net Income (Continuing) | -22.53M | -16.11M | -16.49M | -28.03M | -32.63M | 2.89M | -92.23M | -20.53M | -35.63M | -16.11M | -19.28M | -11.26M | -109.22M | -41.75M | -20.84M | -7.48M | -9.94M | -6.15M | -7.33M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -814K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 9.69M | 9.46M | 8.53M | 7.97M | 8.02M | 7.2M | 2.56M | 3.7M | 4.03M | 4.96M | 4.64M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -3.17 | -5.08 | -3.66 | -6.64 | -6.97 | 0.60 | -41.39 | -251.22 | -1535.68 | -1552.88 | -1899.36 | -1310.43 | -14546.02 | -7555.19 | -6002.59 | -9021.71 | -22093.33 | -2.57 | -7016.27 |
| EPS Growth % | -37.68% | -38.8% | 44.88% | 4.73% | -1261.67% | 101.45% | 83.52% | 83.64% | 1.11% | 18.24% | -44.94% | 90.99% | -92.53% | -25.87% | 33.47% | 59.17% | -859562.65% | 99.96% | - |
| EPS (Basic) | - | -5.08 | -3.66 | -6.64 | -6.97 | 0.60 | -41.39 | -251.22 | -1535.68 | -1552.88 | -1899.36 | -1310.43 | -14682.33 | -7562.82 | -6394.91 | -9021.71 | -22093.33 | -2.57 | -7016.27 |
| Diluted Shares Outstanding | 7.4M | 5.56M | 4.61M | 4.18M | 4.68M | 5.25M | 2.23M | 81.72K | 24.23K | 18.57K | 12.64K | 8.51K | 7.54K | 6.94K | 3.47K | 829 | 450 | 2.39M | 1.04K |
| Basic Shares Outstanding | 7.4M | 5.56M | 4.61M | 4.18M | 4.68M | 5.22M | 2.23M | 81.72K | 24.23K | 18.57K | 12.64K | 8.51K | 7.47K | 6.93K | 3.26K | 829 | 450 | 2.39M | 1.04K |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
Insufficient liquidity for operations
As indicated by recent quarterly filings, XWEL's revenue has experienced a sustained downward trajectory, with the most recent period showing a 5.5% year-over-year decline to $6.6 million, reflecting the ongoing difficulty in replacing pandemic-era diagnostic testing volumes with legacy spa and wellness service demand.
The consistent revenue erosion suggests that the company's pivot toward a broader wellness platform has yet to gain sufficient traction to offset the structural decline in its testing segment. Investors should monitor whether the current revenue base represents a stable floor or if further contraction is likely as the company struggles to capture discretionary travel spending.
Based on reported financial statements, XWEL's gross margin has fluctuated significantly, reaching 32.9% in 2026Q1, yet this volatility highlights the difficulty in managing high fixed costs associated with airport leasehold obligations and specialized labor requirements in a period of declining top-line performance.
The inability to maintain consistent gross margins suggests that the company lacks the pricing power necessary to pass through rising labor and concession costs to the consumer. This margin instability complicates the path to profitability, as the current cost structure appears overly sensitive to fluctuations in passenger foot traffic.
According to the income statement data, XWEL's operating margin of -81.6% in 2026Q1 demonstrates a failure to achieve operational scale, as SG&A expenses of $7.6 million continue to dwarf the gross profit generated, signaling a lack of efficiency in managing corporate overhead relative to revenue.
The persistent gap between gross profit and operating expenses suggests that the company's current footprint is not optimized for its existing revenue scale. Without a significant reduction in fixed overhead or a substantial increase in per-passenger spend, the company appears unlikely to achieve positive operating leverage in the near term.
Analysis of recent filings reveals that XWEL's net losses are exacerbated by stock-based compensation, which reached $886,000 in 2026Q1, further diluting shareholder value while the company continues to report significant bottom-line deficits and negative earnings per share of -1.51 for the same period.
The reliance on equity-based incentives during a period of deep net losses warrants further investigation into management's alignment with shareholder interests. The recurring nature of these losses suggests that the reported net income is not merely a product of one-time items but reflects a fundamental disconnect between operational costs and revenue generation.
As reported in financial statements, the rapid depletion of cash reserves to approximately $2.6 million, coupled with ongoing quarterly net losses exceeding $11 million, suggests that the company faces a critical liquidity risk that may necessitate dilutive financing or a restructuring of its airport leasehold portfolio.
Short-sellers would likely focus on the unsustainable cash burn rate, which appears to be outpacing the company's ability to generate internal funding. The lack of a clear path to positive cash flow implies that the company's survival may depend on external capital, which could be difficult to secure under current market conditions.
Quick answers to the most common questions about buying XWEL stock.
For fiscal year 2025, XWELL, Inc. (XWEL) reported total revenue of $29.2M.
XWELL, Inc. (XWEL) reported a net loss of $17.0M for the fiscal year ending 2025.
XWELL, Inc. (XWEL) reported an operating income of $-9.4M, resulting in an operating profit margin of -32.0%. This margin reflects the operational efficiency of the business before interest and taxes.
XWELL, Inc. (XWEL) generated $6.6M in gross profit for the year, representing a gross profit margin of 22.7%. This demonstrates the company's core pricing power and production efficiency.