Accessibility StatementSkip Navigation BROOKLYN, N.Y., Dec. 1, 2025 /PRNewswire/ -- Life Time (NYSE: LTH), the nation's premier healthy lifestyle brand, today announced plans for a new, expansive athletic country club at 175 Third Street in Gowanus, Brooklyn, part of the four-project campus known as Gowanus Wharf development by Charney Companies and Tavros. The new Life Time will encompass more than 85,000 square feet of indoor and outdoor space and bring an entirely new experience to the neighborhood wi ...

Financial Data and Key Metrics Changes - Total revenue increased by 12.9% to $783 million [5] - Average monthly dues grew by 10.0% year-over-year to $218 [5] - Net income for the quarter was $102 million, an increase of 147% [5] - Adjusted net income was $93 million, up 65.2% year-over-year [6] - Adjusted EBITDA increased by 22% to $220 million, with a margin improvement of 210 basis points to 28.1% [6][7] - Net cash provided by operating activities rose approximately 66% to $251 million [7] - Free cash flow was $63 million for the third quarter [7] Business Line Data and Key Metrics Changes - Comparable center revenue grew by 10.6%, driven by strong performance in dues and in-center businesses, particularly Dynamic Personal Training [5][10] - Revenue per center membership increased by 11.3% year-over-year [10] - In-center business revenue rose by 14.4% year-over-year, with significant growth in dynamic personal training [10] Market Data and Key Metrics Changes - The company ended the quarter with nearly 841,000 center memberships, with total memberships reaching approximately 891,000 [5] - Average monthly visits per membership reached 12.5, up 5.9% year-over-year [9] Company Strategy and Development Direction - The company aims to accelerate new club growth, with plans to deliver 12-14 new clubs in 2026 and beyond [8][9] - Focus on enhancing member experiences and increasing revenue per center membership through membership optimization [9][10] - The company is expanding its digital offerings and nutritional brand, with plans to release new features for its AI health companion by the end of the year [11] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's performance and growth strategy, highlighting strong cash flow as a key driver for long-term growth [7][8] - There are no current signs of weakness in consumer demand, with all mature clubs making more money than in the past [41] - The company is prepared for various market conditions and is focused on maintaining a strong balance sheet [43][46] Other Important Information - The company expects to complete between $55 million-$65 million of additional sale-leaseback transactions before the end of the year [7] - Management is considering stock buybacks as a potential capital allocation strategy, but no decision has been made yet [43][46] Q&A Session Summary Question: In-center revenue opportunity and DPT penetration - Management highlighted strong execution in personal training and the potential for further growth in cafes and spas [15][16] Question: Prioritizing club openings beyond 2026 - The company plans to maintain a baseline of 12-14 new clubs annually, with a strong pipeline and successful urban and suburban club performance [18][19] Question: Comparable center revenue guidance and revenue maximization - Management emphasized membership optimization and delivering unmatched brand experiences to maximize revenue without overly relying on membership growth [22][24] Question: Geographic and income cohort weaknesses - Management reported no signs of weakness in consumer demand, with all clubs performing well across various markets [39][41] Question: Capital allocation and stock buybacks - The company is focused on maintaining a strong balance sheet while considering stock buybacks as a future option [43][46] Question: Relative value in the fitness industry - Management noted that Life Time is capturing market share from boutique studios due to its differentiated offerings and high utilization rates [51][52] Question: Life Time Living and Life Time Work contributions - Both initiatives are performing well, with Life Time Living showing superior performance and retention compared to traditional apartment businesses [84][86] Question: New club openings and margin considerations - New larger clubs are expected to have higher average revenue but may initially have negative margins [91][92] Question: Design considerations for new clubs - Management is focused on adapting club designs to meet customer preferences and enhance overall member experience [100]

Financial Data and Key Metrics Changes - Total revenue increased by 12.9% to $783 million [5] - Average monthly dues grew by 10.0% year-over-year to $218 [5] - Net income for the quarter was $102 million, an increase of 147% [5] - Adjusted net income was $93 million, up 65.2% year-over-year [6] - Adjusted EBITDA increased by 22% to $220 million, with a margin improvement of 210 basis points to 28.1% [6][7] - Net cash provided by operating activities rose approximately 66% to $251 million [7] - Free cash flow was $63 million for the third quarter [7] Business Line Data and Key Metrics Changes - Comparable center revenue grew by 10.6%, with guidance raised to between 10.8% and 11.0% for the full year [5] - Revenue per center membership increased by 11.3% year-over-year [10] - In-center business revenue rose by 14.4% year-over-year, particularly in dynamic personal training [10] Market Data and Key Metrics Changes - The company ended the quarter with nearly 841,000 center memberships, reaching approximately 891,000 including on-hold memberships [5] - Average monthly visits per membership reached 12.5, up 5.9% year-over-year [9] Company Strategy and Development Direction - The growth strategy focuses on accelerating new club growth and enhancing member experiences [8] - The company plans to deliver 12-14 new clubs in 2026 and beyond, with 13 clubs currently under construction [9] - Membership optimization is emphasized, aiming to improve the mix with more couples and families while managing qualified memberships [9][10] - The company is excited about the upcoming features of its AI health companion, L•AI•C, and plans to expand its nutritional brand, LTH [11] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's performance and growth, noting strong execution and member engagement [8][10] - There are no current signs of weakness in consumer demand, with all mature clubs making more money than in the past [41] - The company is prepared for various market conditions, maintaining a strong balance sheet to support growth [43][46] Other Important Information - The company expects to complete between $55 million and $65 million of additional sale-leaseback transactions before the end of the year [7] - The management team is focused on maintaining a strong balance sheet while exploring stock buyback options [43][46] Q&A Session Summary Question: In-center revenue opportunity and DPT penetration - Management highlighted the success of the personal training program and the potential for further growth in cafes and spas [15][16] Question: Prioritizing club openings beyond 2026 - The company plans to maintain a baseline of 12-14 new clubs annually, with a strong pipeline and successful urban and suburban club performance [18][19] Question: Maximizing revenue without increasing membership count - The focus is on brand and member experience, optimizing membership types to increase revenue per membership [24][25] Question: Geographic or income cohort weaknesses - Management reported no signs of weakness, with all clubs performing well across various markets [39][41] Question: Capital allocation and stock buyback considerations - The board is discussing stock buyback options, but the primary focus remains on growth and club development [43][46] Question: Relative value in the fitness industry - The company is seeing increased interest from consumers trading up to Life Time due to its differentiated offerings [51][54] Question: Nutritional brand strategy post-consumer reports investigation - The strategy includes ensuring product quality and safety, with plans for a more aggressive marketing approach in 2026 [56][59] Question: New club openings and market considerations - New clubs are expected to perform similarly in both new and existing markets, with careful planning for wage growth and inflation [63][64] Question: Dynamic Personal Training growth and capacity - Some trainers are fully booked, while others have room for growth, indicating a mixed capacity situation across clubs [71][72] Question: Design considerations for new clubs - The company is adapting designs based on customer preferences and operational efficiency [100]

Core Insights - Life Time Group Holdings, Inc. reported strong financial results for the third quarter of fiscal 2025, with significant growth in revenue and net income, reflecting effective execution of its growth strategy [2][7][8]. Financial Performance - Total revenue for Q3 2025 reached $782.6 million, a 12.9% increase from $693.2 million in Q3 2024 [3][7]. - Net income surged to $102.4 million, marking a 147.3% increase compared to $41.4 million in the same quarter last year [3][7]. - Adjusted net income for Q3 2025 was $93.0 million, up 65.2% from $56.3 million in Q3 2024 [3][7]. - Adjusted EBITDA increased by 22.0% to $220.0 million from $180.3 million year-over-year [3][7]. Membership and Engagement - Center memberships at the end of Q3 2025 totaled 840,622, reflecting a 1.7% increase from 826,502 in Q3 2024 [3][8]. - Total subscriptions, including center memberships and on-hold memberships, rose to 891,225, a 1.7% increase compared to the previous year [8]. Operational Efficiency - Center operations expenses increased by 11.6% to $414.3 million, primarily due to costs associated with new and ramping centers [3][8]. - General, administrative, and marketing expenses rose by 3.6% to $59.8 million, driven by increased overhead to enhance member services [3][8]. Capital Expenditures and Cash Flow - Total capital expenditures for Q3 2025 were $222.5 million, a 155.5% increase from $87.1 million in Q3 2024 [9]. - Net cash provided by operating activities for the nine months ended September 30, 2025, was $630.7 million, a 53.1% increase compared to the prior year [8][25]. Future Outlook - The company raised its full-year 2025 revenue guidance to between $2,978 million and $2,988 million, reflecting a 13.8% increase from the previous year [12]. - The net income guidance for 2025 is set between $304 million and $306 million, indicating a 95.3% increase from the prior year [12].

Summary of BasicFit and CleverFit Transaction Conference Call Company and Industry - **Company**: BasicFit - **Acquisition Target**: CleverFit, Europe's largest fitness franchise - **Industry**: Fitness and Franchising Core Points and Arguments 1. **Acquisition Announcement**: BasicFit announced the acquisition of CleverFit, enhancing its position as the market leader in Germany and expanding its footprint in Europe [2][4][6] 2. **Strategic Fit**: The acquisition is seen as transformational, allowing BasicFit to create a dual growth engine by combining franchise management with its existing club model [5][6] 3. **Geographic Expansion**: The acquisition adds six countries to BasicFit's operations, increasing its total club count to over 2,150 and membership to more than 5.7 million [8][6] 4. **Financial Metrics**: CleverFit had a revenue of approximately €50 million and an underlying EBITDA of €14.5 million in 2024, with BasicFit paying a low implied multiple for the acquisition [8][9] 5. **Franchise Model**: CleverFit has 454 franchise clubs and a waiting list of over 150 potential franchisees, indicating strong demand for expansion [9][86] 6. **Growth Strategy**: BasicFit plans to limit its owned club growth to focus on leveraging the new franchising platform, with a total of 125 clubs expected to open in 2025 [13][14] 7. **Financing Details**: The acquisition is financed through committed loans totaling €160 million, with an additional potential earn-out of €50 million over three years [11][12] 8. **Market Leadership**: The acquisition positions BasicFit as the true pan-European fitness leader, particularly in Germany, Austria, and Switzerland [6][8] Additional Important Content 1. **Synergies and Integration**: The management emphasized the potential synergies between BasicFit and CleverFit, particularly in technology and marketing, but detailed discussions will occur post-acquisition [21][29] 2. **Franchisee Relations**: CleverFit has a loyal franchisee base, and BasicFit plans to maintain strong relationships with them while exploring potential changes to franchise agreements [88][93] 3. **COVID-19 Impact**: The pandemic affected CleverFit's growth, but recovery is underway, with new clubs expected to open soon [90][92] 4. **Brand Strategy**: Future discussions will determine whether to maintain separate brands or consolidate under BasicFit, with a focus on enhancing brand recognition through marketing [29][79] 5. **Performance Variability**: The performance of CleverFit clubs varies significantly based on location, with potential for growth in member numbers through improved marketing strategies [74][78] 6. **Long-term Goals**: BasicFit aims for a leverage ratio below 2x debt to EBITDA, with a focus on optimizing the partnership with CleverFit [51][68] This summary captures the key points discussed during the conference call, highlighting the strategic importance of the acquisition and the anticipated benefits for BasicFit in the fitness industry.

Core Insights - Life Time is launching the LT Open, the first professional singles-only pickleball tournament in the U.S., with a total prize purse of $250,000, including $50,000 for both men's and women's champions [2][4]. Event Details - The LT Open will take place from October 17 to 19 at Life Time Peachtree Corners in Atlanta, offering complimentary courtside access for fans [1][2]. - The tournament will feature top players, including PPA gold medalists and APP champions, with tennis legend Andre Agassi attending the semi-finals and finals [3][4]. Broadcast and Accessibility - The event will be broadcast live on various platforms: PPA Tour's YouTube on Friday, and PickleballTV and FS2 on Saturday and Sunday [4]. - Attendees will receive a complimentary LT Pro 48 pickleball, designed for consistent bounce and durability [3]. Growth of Pickleball - Life Time has seen significant growth in pickleball participation, with 3.1 million participants in the first half of 2025 across over 800 courts, and members playing an average of 6.8 times per month compared to 3.8 times in 2023 [6]. Tournament Schedule - The tournament schedule includes: - October 17: Main Draw - Round of 64 and 32 from 8 a.m. to 5 p.m. - October 18: Main Draw - Round of 16 and 8 from 10 a.m. to 8 p.m. - October 19: Semi-Finals and Finals from 9 a.m. to 6 p.m. [7]. Innovation in Fair Play - The LT Open will implement on-site professional paddle testing using a GNG machine, ensuring paddles meet strict standards for fair play [5].

Core Insights - Life Time Group reported strong Q2 FY2025 results, with adjusted earnings per share of $0.37, a 48.0% increase year-over-year, surpassing consensus expectations of $0.32 [1][2] - Revenue reached $761.5 million, a 14.0% year-over-year increase, also exceeding analyst forecasts [1][2] - The company raised its full-year 2025 guidance for revenue and adjusted EBITDA, indicating continued operational progress [1][10] Financial Performance - Adjusted EPS (Non-GAAP) for Q2 2025 was $0.37, up from $0.25 in Q2 2024, reflecting a 48.0% increase [2] - GAAP revenue for Q2 2025 was $761.5 million, compared to $667.8 million in Q2 2024, marking a 14.0% increase [2] - Adjusted EBITDA reached $211.0 million, a 21.6% increase from $173.5 million in Q2 2024 [2] - Net income (GAAP) was $72.1 million, up 36.6% from $52.8 million in Q2 2024 [2] - Free cash flow (non-GAAP) was $112.5 million, influenced by $138.8 million from property sale-leaseback activity [5] Membership and Revenue Drivers - Membership dues and enrollment fees accounted for approximately 71.7% of total center revenue [6] - Average revenue per center membership increased by 11.8% to $888, driven by price increases and higher adoption of in-center services [6] - Comparable center revenue grew 11.2% year-over-year, supported by new club openings and increased in-center participation [6] Operational Strategy - Life Time focuses on boosting revenue per member and targeting higher-income demographics while expanding its center network [4] - The company employs an asset-light growth model, leasing most new centers to reduce risk and enable steady expansion [8] - Management emphasized the importance of maximizing member engagement and delivering a superior in-center experience [4] Future Outlook - Life Time raised its full-year 2025 revenue guidance to between $2.955 billion and $2.985 billion, with adjusted EBITDA targeted between $805 million and $815 million [10] - The company forecasts comparable center revenue growth of 9.5% to 10.0%, an increase from previous expectations [10] - Plans to open 10 new centers this year while maintaining net debt leverage below 2.0x [10]