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For the Output tool, File Format of Microsoft Excel (*.xlsx) - the non-Legacy one - it doesn't have the "Delete Data & Append" option that the Legacy ad 97-2003 Excel formats have.
Having the Delete Data & Append for the most recent version of Excel would be very beneficial. Without it, there does not appear to be a way to udpate an existing Excel sheet using an Alteryx workflow while preserving the formatting within the Excel sheet. The option to Overwrite/Drop removes all formatting.
I have this workflow refreshing an Excel sheet daily, and then am emailing it to a distribution at the end of the workflow. Unfortunately, right now I have to use the 97-2003 format to preserve the formatting of the Excel sheet when it is automatically refreshed and emailed each day.