NEW YORK - Life Time Group Holdings, Inc. (NYSE:LTH) reported preliminary fourth quarter results that exceeded analyst expectations and provided an optimistic outlook for 2025, sending its shares soaring 12.6% in trading.
The fitness center operator estimates total revenue for the fourth quarter of 2024 to increase 18.5% to $661-$663 million, surpassing the analyst consensus of $643.74 million. Adjusted diluted earnings per share (EPS) for the quarter is expected to rise to $0.24-$0.25, well above the $0.16 consensus estimate.
For the full year 2024, Life Time projects total revenue to grow 18.2% to $2,619-$2,621 million, exceeding the $2,600 million analyst forecast. Adjusted diluted EPS for 2024 is estimated to increase to $0.91-$0.92, topping the $0.79 consensus.
Looking ahead to fiscal 2025, the company anticipates total revenue to climb 12.2% to $2,910-$2,970 million, significantly above the $2,800 million analyst consensus.
Bahram Akradi, Founder, Chairman and CEO, commented: "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."
Life Time attributes its strong performance to growth in memberships, membership dues revenue, and in-center revenue, coupled with an efficient operating model that has led to expanding margins.
The company plans to release its full fiscal year 2024 results on February 27, 2025.
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