Life Time Group Holdings
the operator of fitness centers, reported quarterly earnings that beat analysts’ estimates as memberships rose and prices increased.
Life Time (ticker: LTH) reported fiscal fourth-quarter earnings of 7 cents a share on sales of $427.7 million. Analysts surveyed by FactSet were expecting earnings of 5 cents a share on revenue of $472.9 million. Last year, the company posted a loss of $1.64 a share on sales of $360.5 million.
Life Time said that revenue increased on growth in membership dues and in in-center sales. Memberships for the quarter were 725.3 million, an increase of 11.7% from the prior year.
“The strategic investments we have made are driving increased club usage and memberships. We are also optimizing our pricing to continue to enhance our member experience, increase center revenue per center membership and deliver margin expansion,” Chief Executive Bahram Akradi said in the earnings report.
The company said it expects first-quarter sales of between $505 million to $510 million, in line with analysts’ expectations of $509.8 million. For the fiscal year, Life Time expects sales of between $2.2 billion to $2.3 billion. Analysts surveyed by FactSet were expecting fiscal-year revenue of $2.25 billion.
Shares of Life Time were up 0.3% in premarket trading to $18.75. The stock has surged 56% this year.
Write to Angela Palumbo at email@example.com