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Mar 31, 2023

Life Time Q1 2023 Earnings Report

Life Time's financial performance significantly improved, marked by record revenue and Adjusted EBITDA.

Key Takeaways

Life Time Group Holdings reported a strong start to fiscal year 2023, with revenue increasing by 30.2% to $510.9 million. Net income shifted from a $38.0 million loss in Q1 2022 to a $27.5 million profit. Adjusted EBITDA saw a substantial increase of 195.8% to $120.1 million. The company is raising its full year Adjusted EBITDA guidance by $30 million, setting the new range at $470-$490 million.

Revenue increased by 30.2% to $510.9 million compared to Q1 2022.

Net income improved to $27.5 million, a significant turnaround from the $38.0 million net loss in the same quarter last year.

Adjusted EBITDA surged by 195.8% to $120.1 million year-over-year.

Full year fiscal 2023 Adjusted EBITDA guidance raised by $30 million to a range of $470-$490 million.

Total Revenue
$511M
Previous year: $392M
+30.2%
EPS
$0.1
Previous year: -$0.2
-150.0%
Comparable Center Sales
24.6%
Previous year: 50.3%
-51.1%
Net New Center Openings
3
Previous year: 2
+50.0%
Total Centers (end of period)
164
Previous year: 153
+7.2%
Gross Profit
$237M
Previous year: $153M
+55.1%
Cash and Equivalents
$35.3M
Previous year: $41.1M
-14.0%
Free Cash Flow
-$96.5M
Previous year: -$102M
-5.1%
Total Assets
$6.74B
Previous year: $6.33B
+6.3%

Life Time

Life Time

Life Time Revenue by Segment

Forward Guidance

Life Time anticipates revenue between $560 million and $570 million, net income between $19 million and $20 million, and Adjusted EBITDA between $124 million and $126 million for the second quarter of 2023. For the full year 2023, they expect revenue between $2.2 billion and $2.3 billion, Adjusted EBITDA between $470 million and $490 million, and rent expenses between $270 million and $280 million.

Positive Outlook

  • Revenue is projected to be between $560 million and $570 million.
  • Net income is expected to be between $19 million and $20 million.
  • Adjusted EBITDA is forecasted to be between $124 million and $126 million.
  • Full-year revenue is guided between $2.2 billion and $2.3 billion.
  • Full-year Adjusted EBITDA is projected between $470 million and $490 million.

Revenue & Expenses

Visualization of income flow from segment revenue to net income