Life Time Reports Preliminary Estimated Fourth Quarter and Full-Year 2024 Financial Results and Introduces Select Fiscal 2025 Guidance
Life Time Group Holdings (NYSE: LTH) announced preliminary Q4 and full-year 2024 results, showing strong financial performance. Total revenue is estimated to increase 18.5% to $661-$663 million for Q4 and 18.2% to $2,619-$2,621 million for 2024. Net income is expected to rise 35% to $31-$33 million in Q4 and 98.4% to $150-$152 million for the year.
The company's 2025 guidance projects revenue growth of 12.2% to $2,910-$2,970 million, with net income estimated to increase 75.8% to $262-$269 million. Center memberships grew 6.4% to 812,062, while average center revenue per membership increased 12.4% to approximately $3,160.
Life Time plans to open 10-12 new centers in 2025 and expects comparable center revenue growth of 7-8%. The company aims to maintain its net debt to Adjusted EBITDA leverage ratio at or below 2.25 times.
Life Time Group Holdings (NYSE: LTH) ha annunciato i risultati preliminari del Q4 e dell'intero anno 2024, mostrando una forte performance finanziaria. Si stima che il fatturato totale aumenterà del 18,5% a $661-$663 milioni per il Q4 e del 18,2% a $2.619-$2.621 milioni per il 2024. Il reddito netto è previsto in crescita del 35% a $31-$33 milioni nel Q4 e del 98,4% a $150-$152 milioni per l'anno.
Le previsioni dell'azienda per il 2025 stimano una crescita del fatturato del 12,2% a $2.910-$2.970 milioni, con il reddito netto previsto in aumento del 75,8% a $262-$269 milioni. I membri dei centri sono cresciuti del 6,4% a 812.062, mentre il fatturato medio per membro è aumentato del 12,4% a circa $3.160.
Life Time prevede di aprire 10-12 nuovi centri nel 2025 e si aspetta una crescita del fatturato comparabile dei centri del 7-8%. L'azienda punta a mantenere il suo rapporto di indebitamento netto rispetto all'EBITDA rettificato a 2,25 volte o inferiore.
Life Time Group Holdings (NYSE: LTH) anunció los resultados preliminares del Q4 y del año completo 2024, mostrando un sólido desempeño financiero. Se estima que los ingresos totales aumenten un 18.5% a $661-$663 millones para el Q4 y un 18.2% a $2,619-$2,621 millones para 2024. Se espera que la renta neta aumente un 35% a $31-$33 millones en el Q4 y un 98.4% a $150-$152 millones para el año.
La guía 2025 de la compañía proyecta un crecimiento en los ingresos del 12.2% a $2,910-$2,970 millones, con la renta neta estimada en un aumento del 75.8% a $262-$269 millones. Las membresías de los centros crecieron un 6.4% a 812,062, mientras que los ingresos promedio por membresía aumentaron un 12.4% a aproximadamente $3,160.
Life Time planea abrir de 10 a 12 nuevos centros en 2025 y espera un crecimiento en los ingresos comparables de los centros del 7-8%. La compañía aspira a mantener su relación de deuda neta a EBITDA ajustado en 2.25 veces o menos.
라이프 타임 그룹 홀딩스 (NYSE: LTH)는 2024년 4분기 및 전체 연도에 대한 예비 실적을 발표하며 강력한 재무 성과를 보여주었습니다. 4분기 총 수익은 18.5% 증가하여 $661-$663million, 2024년에는 18.2% 증가하여 $2,619-$2,621million으로 예상됩니다. 순이익은 4분기 동안 35% 증가하여 $31-$33million, 연간 98.4% 증가하여 $150-$152million으로 예상됩니다.
회사의 2025 년 가이드라인은 12.2%의 수익 성장을 예상하며 $2,910-$2,970million에 달할 것으로 보이고, 순이익은 75.8% 증가하여 $262-$269million에 이를 것으로 예상됩니다. 센터 회원 수는 6.4% 증가하여 812,062명에 달하며, 회원당 평균 센터 수익은 12.4% 증가하여 약 $3,160입니다.
라이프 타임은 2025년까지 10-12개의 새로운 센터를 열 계획이며, 센터의 비교 가능한 수익 성장은 7-8%로 예상하고 있습니다. 회사는 조정된 EBITDA에 대한 순부채 비율을 2.25배 이하로 유지하는 것을 목표로 하고 있습니다.
Life Time Group Holdings (NYSE: LTH) a annoncé les résultats préliminaires du quatrième trimestre et de l'année complète 2024, montrant une forte performance financière. Le chiffre d'affaires total devrait augmenter de 18,5 % pour atteindre entre 661 et 663 millions de dollars au quatrième trimestre et de 18,2 % pour atteindre entre 2 619 et 2 621 millions de dollars pour l'année 2024. Le revenu net devrait augmenter de 35 % pour atteindre entre 31 et 33 millions de dollars au quatrième trimestre et de 98,4 % pour atteindre entre 150 et 152 millions de dollars pour l'année.
Les projections de guidage 2025 de l'entreprise prévoient une croissance du chiffre d'affaires de 12,2 % pour atteindre entre 2 910 et 2 970 millions de dollars, avec un revenu net estimé à une augmentation de 75,8 % pour atteindre entre 262 et 269 millions de dollars. Les adhésions aux centres ont augmenté de 6,4 % pour atteindre 812 062, tandis que le chiffre d'affaires moyen par abonnement a augmenté de 12,4 % pour atteindre environ 3 160 dollars.
Life Time prévoit d'ouvrir de 10 à 12 nouveaux centres en 2025 et s'attend à une croissance des revenus comparables des centres de 7 à 8 %. L'entreprise vise à maintenir son ratio d'endettement net par rapport à l'EBITDA ajusté à 2,25 fois ou moins.
Life Time Group Holdings (NYSE: LTH) hat vorläufige Ergebnisse für das 4. Quartal und das gesamte Jahr 2024 angekündigt, die eine starke finanzielle Leistung zeigen. Der Gesamtumsatz wird voraussichtlich um 18,5% auf $661-$663 Millionen im 4. Quartal und um 18,2% auf $2.619-$2.621 Millionen für 2024 steigen. Der Nettogewinn wird für das 4. Quartal um 35% auf $31-$33 Millionen und für das Jahr um 98,4% auf $150-$152 Millionen steigen.
Die 2025-Prognose des Unternehmens geht von einem Umsatzwachstum von 12,2% auf $2.910-$2.970 Millionen aus, während der Nettogewinn voraussichtlich um 75,8% auf $262-$269 Millionen steigen wird. Die Mitgliederzahlen der Zentren wuchsen um 6,4% auf 812.062, während der durchschnittliche Umsatz pro Mitglied um 12,4% auf etwa $3.160 zunahm.
Life Time plant, im Jahr 2025 10-12 neue Zentren zu eröffnen, und erwartet ein vergleichbares Umsatzwachstum der Zentren von 7-8%. Das Unternehmen strebt an, das Verhältnis von Nettoverschuldung zu bereinigtem EBITDA bei oder unter 2,25-fach zu halten.
- Revenue growth of 18.5% to $661-$663M in Q4 2024
- Net income increase of 98.4% to $150-$152M for full-year 2024
- Center memberships grew 6.4% to 812,062
- Average revenue per membership increased 12.4% to $3,160
- Projected 75.8% net income growth for 2025
- Debt leverage ratio reduced to 2.27x
- Comparable center revenue growth slowed to 12.0-12.2% in 2024 from 15.3% in 2023
Insights
The preliminary Q4 and FY2024 results showcase strong financial performance with revenue growth of
The 2025 guidance projects continued momentum with
The results reflect robust consumer demand for premium fitness experiences, with record levels of member engagement and retention driving growth. The expanding margins demonstrate successful execution of the company's operational efficiency initiatives. The
Key performance indicators show healthy business fundamentals: membership growth, increased revenue per member and improved retention rates all point to strong market positioning. The planned expansion of 10-12 new centers in 2025 is strategically aligned with demonstrated demand. The focus on maintaining positive free cash flow while managing leverage suggests disciplined capital allocation.
- Total revenue estimated to increase
18.5% to$661 -$663 million 18.2% to$2,619 -$2,621 million - Net income estimated to increase
35.0% to$31 -$33 million 98.4% to$150 -$152 million - Diluted EPS estimated to increase to
$0.14 -$0.15 $0.71 -$0.72 - Adjusted net income estimated to increase
42.1% to$52 -$56 million 49.6% to$192 -$196 million - Adjusted EBITDA estimated to increase
27.1% to$174 -$176 million 25.7% to$674 -$676 million - Adjusted diluted EPS estimated to increase to
$0.24 -$0.25 $0.91 -$0.92 - Net debt to Adjusted EBITDA leverage ratio estimated to be reduced to approximately 2.27 times
- FY 2025 total revenue estimated to increase
12.2% to$2,910 -$2,970 million - FY 2025 net income estimated to increase
75.8% to$262 -$269 million - FY 2025 Adjusted EBITDA estimated to increase
14.1% to$760 -$780 million
* | Percentages are at the midpoint of our estimated results and 2025 guidance |
Bahram Akradi, Founder, Chairman and CEO, stated: "I am extremely proud of our financial performance in 2024. Our fourth quarter and full-year results continue to demonstrate the strong desirability for our athletic country clubs, programs and services. This has resulted in record levels of member engagement and retention, both of which are important drivers of our growth strategy. The growth in our memberships, membership dues revenue, and our in-center revenue, combined with our efficient operating model, has fueled our expanding margins. As reflected in our 2025 guidance, we are well-positioned to build upon the success of 2024."
Select Preliminary Financial Information
Three Months Ended | Percent | Year Ended | Percent | ||||||||
($ in millions, except memberships and per membership data) | December 31, | December 31, | |||||||||
2024 (Preliminary) | 2023 (Actual) | 2024 (Preliminary) | 2023 (Actual) | ||||||||
Total revenue | 18.5 % | 18.2 % | |||||||||
Rent | 10.6 % | 11.1 % | |||||||||
Net income | 35.0 % | 98.4 % | |||||||||
Adjusted net income | 42.1 % | 49.6 % | |||||||||
Adjusted EBITDA | 27.1 % | 25.7 % | |||||||||
Comparable center revenue (1) | 11.7 % | 15.3 % | |||||||||
Center memberships, end of period | 812,062 | 763,216 | 6.4 % | 812,062 | 763,216 | 6.4 % | |||||
Average center revenue per center membership | 11.7 % | 12.4 % | |||||||||
(1) | The Company includes a center, for comparable center revenue purposes, beginning on the first day of the 13th full calendar month of the center's operation, in order to assess the center's growth rate after one year of operation. |
Select Fiscal 2025 Annual Guidance
The Company is also introducing the following select financial guidance for full-year fiscal 2025:
Percent | |||||
Year Ending | Year Ended | Change | |||
December 31, 2025 | December 31, 2024 | (Using | |||
($ in millions) | (Guidance) | (Preliminary) | midpoints) | ||
Revenue | 12.2 % | ||||
Net income | 75.8 % | ||||
Adjusted EBITDA | 14.1 % | ||||
Rent | 11.9 % |
The Company also expects to achieve the following operational and financial results for full-year fiscal 2025:
- Maintain positive free cash flow (as defined below) on an annual basis and manage our net debt to Adjusted EBITDA leverage ratio to achieve and then maintain at or below 2.25 times.
- Open 10-12 new centers.
- Comparable center revenue growth of
7% to8% . - Adjusted EBITDA growth driven primarily by dues revenue growth and expanded operating leverage.
- Rent to include non-cash rent expense of
$35 million $38 million - Interest expense, net of interest income, of approximately
$90 million $94 million
About Life Time
Life Time (NYSE: LTH) empowers people to live healthy, happy lives through its portfolio of more than 175 athletic country clubs across
Unaudited Preliminary Estimated Results for the Three Months and Year-Ended December 31, 2024
The Company's unaudited preliminary estimated financial results are based on information available to us as of the date of this press release. The amounts set forth herein are subject to revision based upon the completion of our year-end financial closing process and audit, a final review by our management, audit committee and independent registered public accounting firm ("Deloitte") and the preparation of full financial statements and related notes. The unaudited preliminary estimated financial information included in this press release has been prepared by, and is the responsibility of, our management. Deloitte has not audited, reviewed, compiled or applied agreed-upon procedures with respect to the preliminary financial information. Accordingly, Deloitte does not express an opinion or any other form of assurance with respect thereto.
The processes we have used to produce the unaudited preliminary estimated financial information required a greater degree of estimation and assumptions than required during a typical year-end closing process. During our completion of our closing process and audit, we may identify additional items that require adjustments to the unaudited preliminary estimated financial information presented in this press release. The unaudited preliminary estimated financial information should not be considered a substitute for the audited consolidated financial statements and related notes for the year ended December 31, 2024, once they become available.
The preliminary estimated financial results presented in this press release do not purport to indicate our final results of operations for the three months ended December 31, 2024, or the year ended December 31, 2024, nor are they necessarily indicative of any future period and should be read together with our audited consolidated financial statements and related notes, our unaudited condensed consolidated financial statements and related notes and our other financial information reported in our Annual Report on Form 10-K for the fiscal year ended December 31, 2023 and Quarterly Reports on Form 10-Q for the quarterly periods ended March 31, 2024, June 30, 2024, and September 30, 2024.
Use of Non-GAAP Financial Measures
This press release includes certain financial measures that are not presented in accordance with GAAP, including Adjusted net income, Adjusted net income per common share, Adjusted EBITDA, free cash flow and net debt and ratios and calculations with respect thereto. These non-GAAP financial measures are not based on any comprehensive set of accounting rules or principles and should be considered in addition to, and not as a substitute for or superior to, net income, net income per common share, net cash provided by operating activities or total debt (defined as long-term debt, net of current portion, plus current maturities of debt) as a measure of financial performance or liquidity or any other performance measure derived in accordance with GAAP, and should not be construed as an inference that the Company's future results will be unaffected by unusual or non-recurring items. In addition, these non-GAAP financial measures should be read in conjunction with the Company's financial statements prepared in accordance with GAAP. The reconciliations of the Company's non-GAAP financial measures to the corresponding GAAP measures should be carefully evaluated.
Adjusted net income is defined as net income excluding the impact of share-based compensation expense as well as (gain) loss on sale-leaseback transactions, capital transaction costs, legal settlements, asset impairment, severance and other items that are not indicative of our ongoing operations, less the tax effect of these adjustments. Adjusted EBITDA is defined as net income before interest expense, net, provision for income taxes and depreciation and amortization, excluding the impact of share-based compensation expense as well as (gain) loss on sale-leaseback transactions, capital transaction costs, legal settlements, asset impairment, severance and other items that are not indicative of the Company's ongoing operations. Free cash flow is defined as net cash provided by operating activities less capital expenditures, net of construction reimbursements, plus net proceeds from sale-leaseback transactions and land sales. Net debt is defined as long-term debt, net of current portion, plus current maturities of debt, excluding fair value adjustments, unamortized debt discounts and issuance costs, minus cash and cash equivalents. Net debt is as of the last day of the respective quarter or year. Our net debt to Adjusted EBITDA leverage ratio is calculated as our net debt divided by our trailing twelve months of Adjusted EBITDA.
The Company presents these non-GAAP financial measures because management believes that these measures assist investors and analysts in comparing the Company's operating performance across reporting periods on a consistent basis by excluding items that management does not believe are indicative of the Company's ongoing operating performance, and management believes that free cash flow assists investors and analysts in evaluating our liquidity and cash flows, including our ability to make principal payments on our indebtedness and to fund our capital expenditures and working capital requirements. Investors are encouraged to evaluate these adjustments and the reasons the Company considers them appropriate for supplemental analysis. In evaluating the non-GAAP financial measures, investors should be aware that, in the future, the Company may incur expenses that are the same as or similar to some of the adjustments in the Company's presentation of its non-GAAP financial measures. There can be no assurance that the Company will not modify the presentation of non-GAAP financial measures in future periods, and any such modification may be material. In addition, the Company's non-GAAP financial measures may not be comparable to similarly titled measures used by other companies in the Company's industry or across different industries.
The non-GAAP financial measures have limitations as analytical tools, and investors should not consider these measures in isolation or as substitutes for analysis of the Company's results as reported under GAAP.
The following table provides a reconciliation of net income and income per common share, the most directly comparable GAAP measures, to Adjusted net income and Adjusted net income per common share:
Three Months Ended | Year Ended | ||||||
December 31, | December 31, | ||||||
2024 | 2023 | 2024 | 2023 | ||||
($ in millions, except per share data) | (Preliminary) | (Actual) | (Preliminary) | (Actual) | |||
Net income | |||||||
Share-based compensation expense (a) | 21 – 20 | 13.1 | 51 – 50 | 50.1 | |||
Loss (gain) on sale-leaseback transactions (b) | — | 0.2 | (3) – (3) | 13.6 | |||
Legal settlements (c) | — | — | 1 – 1 | — | |||
Asset impairments (d) | — | — | — | 6.6 | |||
Other (e) | 11 – 11 | 1.3 | 10 – 10 | (3.5) | |||
Taxes (f) | (11) – (8) | (0.3) | (17) – (14) | (13.2) | |||
Adjusted net income | |||||||
Income per common share: | |||||||
Basic | |||||||
Diluted | |||||||
Adjusted income per common share: | |||||||
Basic | |||||||
Diluted | |||||||
Weighted-average common shares outstanding: | |||||||
Basic | 206 – 208 | 196.5 | 200 – 202 | 195.7 | |||
Diluted | 219 – 221 | 203.4 | 210 – 212 | 204.0 | |||
(a) | Share-based compensation expense recognized during the three months and year ended December 31, 2024 was associated with stock options, restricted stock units, performance stock units, our employee stock purchase plan ("ESPP") that launched on December 1, 2022, and liability-classified awards related to our 2024 short-term incentive plan. Share-based compensation expense recognized during the three months and year ended December 31, 2023 was associated with stock options, restricted stock units, our ESPP and liability-classified awards related to our 2023 short-term incentive plan. |
(b) | We adjust for the impact of gains and losses on the sale-leaseback of our properties as they do not reflect costs associated with our ongoing operations. |
(c) | We adjust for the impact of unusual legal settlements. These costs are non-recurring in nature and do not reflect costs associated with our normal ongoing operations. |
(d) | Represents non-cash asset impairments of our long-lived assets. |
(e) | Includes, and where applicable preliminary estimated fourth quarter and full year 2024 figures, (i) a |
(f) | Represents the estimated tax effect of the total adjustments made to arrive at Adjusted net income using the effective income tax rates for the respective periods. |
The following table provides a reconciliation of net income, the most directly comparable GAAP measure, to Adjusted EBITDA:
Three Months Ended | Year Ended | ||||||
December 31, | December 31, | ||||||
2024 | 2023 | 2024 | 2023 | ||||
($ in millions) | (Preliminary) | (Actual) | (Preliminary) | (Actual) | |||
Net income | |||||||
Interest expense, net of interest income | 38 – 37 | 34.6 | 149 – 148 | 130.8 | |||
Provision for income taxes | 14 – 17 | 0.5 | 55 – 58 | 18.7 | |||
Depreciation and amortization | 70 – 69 | 64.3 | 275 – 274 | 244.4 | |||
Share-based compensation expense (a) | 21 – 20 | 13.1 | 51 – 50 | 50.1 | |||
Loss (gain) on sale-leaseback transactions (b) | — | 0.2 | (3) – (3) | 13.6 | |||
Legal settlements (c) | — | — | 1 – 1 | — | |||
Asset impairments (d) | — | — | — | 6.6 | |||
Other (e) | — | 1.3 | (4) – (4) | (3.5) | |||
Adjusted EBITDA | |||||||
(a) – (d) | See the corresponding footnotes to the table immediately above. |
(e) | Includes, and where applicable estimated fourth quarter and full year 2024 figures, (i) a (gain) loss on sales of land of |
Reconciliation of Net Debt and Leverage Calculation
Year Ended | |||
December 31, | |||
2024 | 2023 | ||
($ in millions) | (Preliminary) | (Actual) | |
Current maturities of debt | |||
Long-term debt, net of current portion | 1,513.8 | 1,859.0 | |
Total Debt | |||
Less: Fair value adjustment | 0.3 | 0.5 | |
Less: Unamortized debt discounts and issuance costs | (19.2) | (15.3) | |
Less: Cash and cash equivalents | 22.8 | 11.2 | |
Net Debt | |||
Trailing twelve-month Adjusted EBITDA | |||
Net Debt to Adjusted EBITDA Leverage Ratio | 2.27x | 3.6x | |
The following table provides a reconciliation of net income, the most directly comparable GAAP measure, to Adjusted EBITDA:
Year Ending | |
($ in millions) | December 31, 2025 |
Net income | |
Interest expense, net of interest income | 94 – 90 |
Provision for income taxes | 97 – 100 |
Depreciation and amortization | 265 – 273 |
Share-based compensation expense | 42 – 48 |
Adjusted EBITDA |
Forward-Looking Statements
This press release includes "forward-looking statements" within the meaning of federal securities regulations. Forward-looking statements in this press release include, but are not limited to, the Company's plans, strategies and prospects, both business and financial, including its current expectations for the fourth quarter and year ended 2024 financial results and its financial outlook for fiscal year 2025, growth, cost efficiencies and margin expansion, capital expenditures, leverage, consumer demand, industry and economic trends, taxes, and rent expense. These statements are based on the beliefs and assumptions of the Company's management. Forward-looking statements are inherently subject to risks, uncertainties and assumptions. Generally, statements that are not historical facts, including statements concerning the Company's possible or assumed future actions, business strategies, events or results of operations, are forward-looking statements. These statements may be preceded by, followed by or include the words "believe," "expect," "anticipate," "intend," "plan," "estimate" or similar expressions. In addition, any statements or information that refer to expectations, beliefs, plans, projections, objectives, performance or other characterizations of future events or circumstances, including any underlying assumptions, are forward-looking.
Factors that could cause actual results to differ materially from those forward-looking statements included in this press release include, but are not limited to, risks relating to our business operations and competitive and economic environment, risks relating to our brand, risks relating to the growth of our business, risks relating to our technological operations, risks relating to our capital structure and lease obligations, risks relating to our human capital, risks relating to legal compliance and risk management and risks relating to ownership of our common stock and the other important factors discussed under the caption "Risk Factors" in the Company's Annual Report on Form 10-K for the year ended December 31, 2023, filed with the Securities and Exchange Commission (the "SEC") on February 28, 2024 (File No. 001-40887), as such factors may be updated from time to time in the Company's other filings with the SEC, which are accessible on the SEC's website at www.sec.gov. These and other important factors could cause actual results to differ materially from those indicated by the forward-looking statements made in this press release. Any forward-looking statement that the Company makes in this press release speaks only as of the date of such statement. Except as required by law, the Company does not have any obligation to update or revise, or to publicly announce any update or revision to, any of the forward-looking statements, whether as a result of new information, future events or otherwise.
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SOURCE Life Time Group Holdings, Inc.
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