Life Time's Q4 performance exceeded expectations, and the stock price rose due to the guidance

LootboxPhobia · 2026-02-24T16:57:59+00:00

Life Time Group reports Q4 earnings of $0.34 per share, revenue of $745.1 million, up 12.3% year-over-year. It is projected that fiscal year 2026 revenue will be between $330 million and $333 million, with plans to open 12 to 14 new clubs. The company announced a $500 million share repurchase, with net debt leverage improving to 1.6x.

LootboxPhobia

2026-02-24 16:57:59

Abstract generation in progress

Minnesota Shonhassen - On Tuesday, Life Time Group Holdings, Inc. (NYSE:LTH) announced its fourth quarter adjusted earnings per share of $0.34, beating analyst expectations of $0.27 by $0.07, with revenue reaching $745.1 million, surpassing the consensus estimate of $736.13 million.

Following the earnings release, the company’s stock rose 0.14% in pre-market trading.

Revenue increased 12.3% year-over-year, from $663.3 million last year to the current level, mainly driven by growth in membership fees and in-center revenue, especially from the Dynamic Personal Training business.

The company’s adjusted EBITDA grew 14.5% to $202.6 million, and adjusted net income increased 28.4% to $77.4 million.

For fiscal year 2026, Life Time issued an revenue guidance of $330 million to $333 million. The midpoint of $331.5 million is slightly below the analyst consensus of $332 million.

The company expects to open 12 to 14 new clubs in 2026, nearly doubling the total area of clubs opened in 2024 and 2025. Life Time also projects comparable center revenue growth of 6.3% to 7.3%, with adjusted EBITDA of $910 million to $925 million.

“With higher member engagement, increased membership dues, and strong in-center revenue growth, we achieved a record-breaking financial performance for the year,” said founder, chairman, and CEO Bahram Akradi.

The company announced a $500 million share repurchase plan and expects to complete at least $300 million in sale-leaseback transactions by 2026. As of December 31, 2025, the number of center members reached 822,380, a 1.3% increase from the previous year, with average revenue per center member rising 10.8% to $882.

Life Time’s net debt leverage ratio improved from 2.3 times a year ago to 1.6 times. The company opened four centers in the fourth quarter and a total of 10 centers throughout the year, bringing its total number of centers to 189.

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