Life Time Group (LTH) Q1 2026 earnings summary

Executive summary

• Revenue grew to $788.7 million for Q1 2026, up 11.9% year-over-year, driven by higher membership dues, in-center revenue, and strong member engagement across 190 centers.

• Net income increased to $88.1 million, up 15.8% year-over-year, with net income margin rising to 11.2%.

• Adjusted EBITDA reached $226.7 million, a 18.3% increase year-over-year, with margin expanding to 28.7%.

• Membership engagement and mix improved, with center memberships up 1.4% year-over-year to 837,903.

• One new center opened in Q1 2026, bringing the total to 190 centers.

Financial highlights

• Center revenue grew 11.9% year-over-year in Q1 2026, with comparable center revenue up 8.6%.

• Membership dues and enrollment fees grew by $59.8 million year-over-year, while in-center revenue increased by $22.1 million.

• Operating expenses increased, notably center operations (+$35.7 million), rent (+$8.7 million), and depreciation/amortization (+$9.8 million), mainly due to new center openings and higher utilization.

• Free cash flow was negative at $(61.2) million, reflecting higher capital expenditures for growth.

• Capital expenditures totaled $260.0 million, up 82.5% year-over-year, with growth capex more than doubling.

Outlook and guidance

• Full-year 2026 revenue guidance raised to $3,320–$3,350 million, up 11.3% from 2025.

• Adjusted net income expected at $378–$386 million, up 17.4% year-over-year.

• Adjusted EBITDA guidance set at $925–$940 million, up 13.0% year-over-year.

• Plan to open 12–14 new large-format clubs in 2026, with most openings in the second half.

• Comparable center revenue growth expected at 6.9%–7.5%.