Life Time Releases Glowing Preliminary Q3 Financials
The high-end athletic country club operator and pickleball leader estimates total revenue to be $693.2 million, demonstrating an 18.5% increase
Life Time has announced its preliminary estimated financial results for the third quarter as it launches the debt refinancing of 5.750% Senior Secured Notes due 2026 and 8.000% Senior Notes due 2026.
The luxury athletic country club operator estimates total revenue to be $693.2 million, an increase of 18.5% compared to the prior year quarter, and net income of an estimated $41.4 million, a 422.5% increase from the prior-year quarter. Life Time also estimates adjusted EBITDA to be $180.3 million, an increase of 26.1% over the previous year’s quarter.
“Our business continues to deliver strong revenue and adjusted EBITDA growth as we further strengthen our balance sheet,” Life Time executive vice president and chief financial officer Erik Weaver said. “We look forward to providing our full financial results on October 24, 2024.”
Life Time, which has put pickleball on the map and has hundreds of additional courts in the pipeline, raised its revenue guidance in August following a solid second quarter and high member engagement.
Life Time Implements AI
Although Life Time has poured investments into pickleball, in-demand programming such as personal training, and Miora, a performance and longevity clinic, the premium lifestyle operator is also turning its attention to AI to enhance the member experience.
So far, Life Time has partnered with Microsoft to launch L.AI.C, an AI-powered Life Time member companion housed within the Life TIme member app. While the initial version will answer basic questions such as club hours and class descriptions, it will eventually provide personalized class suggestions and tailored workout programs.
“I think the most important transformation in this era is AI,” Life Time CEO Bahram Akradi said. “If you’re not going to be ahead, you’re going to be ridiculously behind.”
