Life Time (US:LTH)2024-08-01 11:05Financial Performance - Total revenue for Q2 2024 was $667.8 million, an increase of 18.9% compared to Q2 2023[1] - Net income rose to $52.8 million, up $35.8 million or 210.6% year-over-year[2] - Adjusted EBITDA increased by 27.6% to $173.5 million compared to the prior year quarter[2] - Total revenue for Q2 2024 reached $667.8 million, a 19% increase from $561.7 million in Q2 2023[13] - Net income for Q2 2024 was $52.8 million, compared to $17.0 million in Q2 2023, representing a 210% increase[13] - Operating income for the first half of 2024 was $176.8 million, up from $119.8 million in the same period last year, reflecting a 47% increase[13] - Center revenue for Q2 2024 was $645.0 million, a 19% increase from $542.1 million in Q2 2023[13] - Adjusted net income for the first half of 2024 increased by 39.5% to $83.4 million[5] - Adjusted net income for the second quarter of 2024 was $52,440, up from $37,965 in 2023, reflecting a growth of 38.1%[19] - Adjusted EBITDA for the second quarter of 2024 was $173,545, up from $136,039 in 2023, representing a 27.6% increase[20] - Adjusted EBITDA for the trailing twelve months ended June 30, 2024, reached $600,211 thousand, compared to $434,143 thousand for the same period in 2023, reflecting a growth of 38.3%[24] Membership and Subscriptions - Center memberships grew by 42,398, or 5.4%, year-over-year, totaling 832,636 memberships[3] - Total subscriptions, including center and digital memberships, increased by 5.5% to 878,767[3] - Total memberships increased to 878,767 in 2024 from 832,639 in 2023, representing a growth of 5.5%[17] - Membership dues and enrollment fees rose to $462,696 in 2024, up from $387,115 in 2023, marking a 19.5% increase[17] - In-center revenue reached $182,311 in 2024, compared to $155,010 in 2023, reflecting an increase of 17.6%[17] - Average center revenue per center membership increased to $794 in 2024 from $701 in 2023, a rise of 13.3%[17] Cash Flow and Capital Expenditures - Free cash flow reached $175.1 million, including $149.0 million from sale-leaseback transactions[6] - Cash and cash equivalents increased to $34.5 million as of June 30, 2024, up from $11.2 million at the end of 2023[14] - The company reported a net cash provided by operating activities of $260.8 million for the first half of 2024, compared to $216.3 million in the same period last year[15] - Capital expenditures for the first half of 2024 were $301.1 million, down from $337.1 million in the same period last year[15] - Free cash flow improved to $175,116 in the second quarter of 2024, compared to $21,045 in 2023[22] - Net cash provided by operating activities was $170,423 in the second quarter of 2024, compared to $141,943 in 2023, an increase of 19.9%[20] - Free cash flow for the three months ended June 30, 2024, was $175,116 thousand, significantly up from $21,045 thousand in the prior year, indicating a substantial increase of 733.5%[23] - Capital expenditures for the six months ended June 30, 2024, were $(301,107) thousand, a decrease from $(337,076) thousand in the same period of 2023[23] Debt and Liabilities - The net debt leverage ratio improved to 3.0x, down from 4.3x a year ago[7] - The company’s total liabilities decreased to $4.8 billion as of June 30, 2024, from $4.8 billion at the end of 2023[14] - Interest expense, net of interest income, for the trailing twelve months ended June 30, 2024, was $142,695 thousand, up from $119,675 thousand in the previous year[24] - Share-based compensation expense increased to $46,670 thousand for the trailing twelve months ended June 30, 2024, compared to $32,051 thousand in the prior year[24] - The company reported a loss on sale-leaseback transactions of $5,307 thousand for the trailing twelve months ended June 30, 2024, compared to a gain of $(47,289) thousand in the previous year[24] Future Outlook - Full-year 2024 revenue guidance is set at $2,560 – $2,590 million, representing a 16.2% increase from 2023[7] - The company plans to open new centers and expand its market presence, contributing to future revenue growth[12] - The company projects adjusted EBITDA for the year ended December 31, 2024, to be in the range of $642 million to $652 million[26] - Net income for the year ended December 31, 2024, is expected to be between $142 million and $148 million[26] - The company opened 3 new centers in the second quarter of 2024, bringing the total to 175 centers[17]