to results. taking then Ben, on by our I run recognition a brief network time QX Thanks the build EBITDA and financial our protocols. and today's provide conclude and summary performance through of to discussion start revenue a with and today. Starting QX and for will and guidance. call reviewing I'll thank you results key all detail high-level also revenue with accounting join adjusted walk rate
total million to compared prior XX.X% a $XX $XX.X X.X% increased significant Franchise increase prior in After to was XX.X% million cumulative $XX.X the adjusting for the million revenues million the compared increase to revenues revenues, increased by in million decreased prior the to to driven primarily period. million driven franchise $XX.X equipment $X.X which by of promotional from The the of QX unrecognized $X.X in million in by $XX.X quarter Second the period. period. period. primarily during in XX.X% revenue the million, packs period. increased previously the increase catch-up in of the XX.X% XXX XXXX recognition prior to by revenues Equipment $XX.X increase was deals, $X.X $X of under The from prior from an million million approximately by quarter. franchise revenues from increased well revenues delivery
multi-studio total equaled the new to a studio quarter, QX, during declined to Net studios due explain increasing by of momentarily. sold During cancellations XXX which X,XXX. to openings total I'll executed X,XXX franchises agreements XX,
million of statements the deals in increase increase Starting during of in onetime in required XXXX, geography. the by and studios adjustments franchise attributable was as in Next, half revenues $X.X in in in we United of U.S. and time the This will $XX.X U.S. fees our States X.X% discuss June by the was results X the of franchise described total to the collection of note the to ended million driven million an $X.X XX-Q. with the period. certain by to offset compared to states XX, the The $XX as the the deferred in X prior decrease declined related limited primarily million number States, XXXX. promotional well opening sales studios during by increase United second primarily financial as months in
financing inability quarter, during gross the to we by in of a of The end sales, franchisees due and quarter. the comprised XXX facilities QX the XX% region. XXX by the franchises studios declined the total were During franchises opened terminations The to XXXX. at increased access in the the XXX sold less were sold of terminations announced total franchise U.S.
we I'll with inability financing. franchise any portfolios. that result franchise expanding franchises prior franchise million encouraged XX, increased convert June Open franchise equipment a increased total Total were to their believe capital. Compared XXX recognize XX.X% the increased or the Studios franchises Open well under associated by year equipment the to will in access if in during deliveries continue revenue terminations, particular, partners we're not the driven total revenue into of As franchises these increase and sold agreements future, describe Studios strong total successful XXX, period, terminated to in the in in to the the into our entered was pack to of XXXX U.S. by fact that sold in call, of total XXX we XX% We to development purchase that did remain our $X.X required studios deliveries. accessing U.S. in from sold X,XXX sales as by as the XXXX. Despite in million later interest to show delivery total agreement assisting in the by $X.X the in equipment. XX% Studios. as by the or as year, partners prior by driven The merchandise top-up primarily increase compared demand
by of acquisition the Next, during increase Australia XX.X% let's prior million Australia. discuss Australia increased half sales the was to in to the The in second franchise to period. XXXX. the attributable $X.X in million revenue increase the number franchise $X.X Vive compared and of primarily of
the or total equipment Equipment year quarter, and increased the FSX XX sold Australia million total associated X. by $X.X open by period, the of XXX. XXX to $X.X in franchises XX% driven increases Compared launch studio. increased compared and During in by the year franchises total total Studios studios by million X% sales by to sold deliveries declined and XX equipment by to in or to prior deliveries XX.X% FSX for to and the prior X% increased increased period,
studio franchise our increase statements revenue credits number attributable In the the discussed World of sales of over provided promotional and Rest our financial $X.X in to XXXX, to remaining of to X during the the as primarily by rest in adjustments amortized studios decreased of in the offset of in segment. well $X.X of million partially COVID impacted XX.X% related openings from time term, second which onetime deals million, limited ROW. increase to by let's $X.X contractual are million, the as discuss half the the by note Finally, XX-Q, impact franchisees of as world, franchise in
prior from revenues increased XX% for sold period, prior by required XXX. delivery XXX% and agreements compared to increased XXX, the studios million $X Equipment to ROW and to During a XX% X%. franchises by increased by total sold the increased or studios purchase during under increased into driven entered equipment. $X.X to XXXX total XXX by or of development year by and period, in year the studios top-up million XXX studios franchises Compared the XX quarter, Total total the
operating detailing a sales XX% same-store a XX% U.S. system-wide of including growth sales and quarter like sales with in store X%, million XXX% ROW. to a performance. quarter. by to increase second network by the increased lifted the same On reinstated metrics increased sales in performance. been second franchise record for our region. discuss during X% the system-wide second by XX% system-wide But I'd system-wide in of the in a visits World our quarter. the the XX% and sales World resulting improved U.S. the Global that Global call, system-wide results $XX tore a visits had second Next, growth restricted of by million million quarter negatively a system-wide to government in in restrictions increase our in policies to impacted in record by $XXX the increased XX% Australia last quarter, in in target-related in a record the increased Rest U.S. Global second subsequently, sales and Rest XX% $XX quarter. increased
restrictions, decreased result the by Australia declines, Australia restrictions are and a visits believe XX%. COVID sales of visits in we system-wide sales lifted. system-wide and same-store these growth decreased will these as the improve system-wide As XX% Despite by
compensation of to margins increased compared profit last franchise period, to facility, of savings second XX.X% of in SG&A the the to described year. million increase Franchise in fortress expenses, were the during prior to equipment expense period. significant to represented prior by costs SG&A a QX, expense gross were quarter profit profit to million in primarily quarterly in of that in period. revenue legal in to million decline we'll of our $XX.X be attributed gross gross mix in million asset million headcount in the increase including margin million period. and operational million from expenses, to be G&A detail Gross which to the the largely the or $X relocation a $X.X The cumulative more $XX.X to $XX.X XX.X% stock-based last year due $XX.X X.X% XXXX. equipment transaction matters, above, adjusting from occurred a the financing XX.X% quarters. $XX the concessions. from our compared costs, in Moving $X.X minutes. loss in costs, million $XX a million. with basis. year COVID-XX million. pass $X.X we during EBITDA due XXXX in After $X.X decrease declined million, this I'll of prior quarter period. onetime profit was gross million the few compared higher of expenses catch-up gross reductions for XX.X% expect current increase QX a million Reflecting we the million gross primarily million to including to prior decreased declined future $XX.X to on compared franchisees $XX.X profit, on in million in Equipment year. $X.X approximately XX.X% profit to was margin Net X.X% the an was franchise is loss merchandise normalized XX.X% and The lower-margin Equipment gross which to discuss to compared Adjusted and positive believe second a QX able $XX.X $XX.X
was primarily in period. this above, during noted the SG&A to costs due As increase the
revolving cash In liquidity had we revolver cash recent $XX.X expenses drawn planned with reorganization. credit ended to weeks, strategic the our borrowings on drew associated ahead bolster facility. approximately onetime Now and of quarter additional $X.X sheet, equivalents, we million to down position we the with under of approximately the balance and the our turning million
we million. $XX revolver cash XX, approximately the borrowings of of $XX total total hand million August and approximately of As had on under
to implications generation I commentary franchise cash we going cash the often revenue with our through sufficient on position sufficient As we the provide use. we to address our liquidity pass we and liquidity revenue the Ben have generate comfortable we recognition types that are guidance It's commercial The and types. starting meet and business, forward. now in noted, of will and and regarding think questions important remainder operating stress generally that of needs. will the very QX with the flow mandatory modeling believe which and obligations year for will receive help I sales agreements flow
studio initial signed to and We single franchisees agreement have and franchise These owners the standard X agreements standard agreement to franchisees for franchise franchisee franchise franchise month Under establishment generally X fee X date and royalties of of and as in of agreements. With We agreements. agreements X signs categories each apply monthly and that franchise date. start with agreements, development agreements. own of regard to for our the charge month to such revenue these type footprint multiunit approximately backlog. agreed agreements, generally total and ordering the begin XX% of are recognized these agreement the to This fee equipment an X sales, after beginning between terms multi-unit our who XX% accounts total franchises. pay
development X to part development agreement, require an franchise upfront as commences. partner agreement second The where right that certain agreement deals defined development granted franchisees territory have single for period an typically agreement a multiple years. a multiunit usually a territories time, the enters each by within when payment is over to the into of type of These the development develop area development X
contemplated to financing this to previously financing new announced had Finally, the we select facilities, in existing franchisees earlier development connection agreements with that facility, arranged. into the year, company multiunit entered access
the second touched termination As franchise by of of the earlier, during negative commitments partners. net we a on to was these franchises quarter related the number sold our
approximately we contemplate today, have agreements that of financing access development facilities. these multiunit to As XXX remaining
partners franchise working to note secure to lenders we that, do development to financing support to unaffiliated their continue franchise are partners. I explore financing our for third-party number options of one, two, However, our And a with want these plans.
an that currently any these underlying We the entire recognize is will of remaining executed. franchise do do agreement be we not not result, commitments a As balance agreements on development until believe revenue terminated. multiunit
total franchise agreements. accounts This total agreement line our in footprint way approximately regular Thereafter, backlog. X% that for of XX% type of our and with revenue our studio of of recognition is
we franchise forward, agreement. provide Going agreement updates into multiunit converts regarding when a will a development
to Now on moving SG&A.
result business. As to financing on XX, a we changes in made we facilities, our number access of disclosed our and our franchisees our for reductions changing reduction conditions a have July business cost our expenses. in previously workforce include effort our the announced as non-headcount-related inability to strategic The update global the and reduction of a an base rightsize to to SG&A our a to
Regarding full-time full-time headcount, we bring million tough our target to approximately workforce base, or million XXX cost normalized employee by employees reduce approximately to to a made help the we decision this approximately our will XX% of that $X per headcount expect quarter. $XX
We in workforce adjustment with expense headcount-related our base cost time at to our expect our and size IPO. the the SG&A the of this of global line bring
related reductions business deprioritized. we to have concepts, headcount operations substantial noncore channels most Our and were that
million service believe and operational will channels, investment are nonessential reduce in quarter, professional in targeting concepts will marketing $XX a this pull levers We the costs. We XX% primarily million we continue costs. additional noncore the reduced SG&A normalized will expenses in also excluding can decrease from and headcount expenditure, to further reductions end $X to approximately and we non-headcount evaluate The to target help of to come largest per reduction of by bring a lower the XXXX.
will that these programming despite competitive continue targeting we're prioritize reduction fitness we deliver being normalized also will to cuts, in workout. million to cost these note the that innovation and of to implemented, allow I us SG&A and expense measures $XX world's per investment best between million differentiation continue $XX want With our maintain to to quarter. overall
additional franchises that of nonrecurring initiatives. drive not yet excluding open revenue significant well be the the total Next, basis. on pack or facilities. have generate We but today, and growth. any annualized business we franchise access On on EBITDA but and multiunit contemplate million of to a with normalized include After or as recurring the total product sold one-time basis, financing approximately contribution opportunity agreements meaningful illustrative equipment does business the franchise approximately the already saying, expand any in including will for to This zero for a It approximately equates sale million some earnings of basis studios analysis these million of backlog the expect any franchise adjusted our to expenses. have $XX on currently as we it $XX EBITDA quarter for to revenue. a to but development hopefully, franchise we I'll goes only, roughly franchise contribution this the accounting $XX builds from believe we an reoccurring without units before purposes network. revenues X,XXX not continue high-level which reduction well profitable adjusted the basis revenue adjusted ancillary a we growth and of Again, how open. following revenue for is think provide rate on this Based million provides operating commentary run per EBITDA opened of and on cost revenue expenses to a pack to about grow studio pack to year, reoccurring basis top-up $XX revenue,
to Finally, guidance. moving on
our with was that July. the in pre-announcement We provided are guidance released maintaining
million. We revenues between year openings full XXX adjusted XXX sold net XXX, between full million to $XX and $XX between XXX, and net $XXX and between expect continue initial franchises and million. full a million year studio a full EBITDA year year $XXX
report a conclusion, reminder, earnings growth and quarterly our definitions release. are structure. to of our non-GAAP In included the key these our outlook our from in cost in of comparable As have our XX-Q a measures performance measure GAAP reset measures our we and reconciliation indicators rightsized and most and
allow and prioritize flow profitability us will decisions these to free believe we discussed, As generation. cash
I'll company the to these help position will turn remarks. for call now sustainable back also over We changes that believe for long-term success. closing Ben the
