Life Time Group Holdings (LTH) Q3 2026 Earnings
Adjusted diluted EPS excludes $15.8 million share-based compensation expense and a $3.0 million gain on sale-leaseback transactions (net of tax effects); GAAP diluted EPS was $0.46 and GAAP net income included a tax-effected net gain of $2.3 million on a sale-leaseback transaction.
How Did LTH Stock React to Q3 2026 Earnings?
Did LTH Beat Earnings? Q3 2026 Results
Yes. Life Time Group Holdings reported Q3 2026 earnings of $0.51 a share on Oct 29, 2026, beating the $0.46 consensus estimate by 11.3%. Revenue was $893.5M against a $875.0M estimate.
Life Time Group Holdings delivered a strong third-quarter 2026 performance, posting adjusted diluted EPS of $0.51 against a consensus estimate of $0.46, a beat of 11.31% that extended the company's streak of topping EPS estimates to six consecutive quarters. Revenue climbed 14.2% year over year to $893.52 million, ahead of the $874.98 million Wall Street had expected, with the upside driven primarily by higher average membership dues and a deliberate shift toward higher-value memberships, a strategy that lifted average center revenue per membership 12.0% to $1,016 in the quarter. Membership dues and enrollment fees rose to $622.10 million from $547.31 million a year earlier, underpinning the top-line momentum that analysts had been watching closely given broader consumer spending concerns. Adjusted EBITDA grew 16.5%, reflecting stronger revenue flow-through even as center operations expenses rose 14.5% to support new club openings. Management raised its full-year revenue outlook to $3.38 billion to $3.39 billion and lifted adjusted EBITDA guidance to $958 million to $962 million, with comparable center revenue growth now expected at 8.5% to 8.7%.
- Increase in average dues, including from improved membership mix
- Membership growth in new and ramping centers
- Higher member utilization of in-center offerings, particularly Dynamic Personal Training
- Average center revenue per center membership rose 12.0% to $1,016
- Comparable center revenue growth of 8.7%
- Greater flow-through of increased revenue lifted Adjusted EBITDA margin to 28.7% from 28.1%
- Approximately 21,500 reduction in lower-dues memberships administered through medical insurance providers improved mix
“Our third quarter results reflect our continued delivery of exceptional member experiences and the strength of our brand. Member engagement continues to rise and our in-center businesses are performing very well, resulting in higher revenue per membership.”
Life Time Group Holdings CEO, on the earnings call
What Is Life Time Group Holdings's Outlook?
Life Time raised its full-year 2026 outlook: - Total revenue of $3,380–$3,390 million, up from $3,350–$3,375 million. - Net income of $358–$360 million, compared with $358–$363 million previously. - Adjusted net income of $408–$412 million, up from $394–$402 million. - Adjusted EBITDA of $958–$962 million, up from $940–$955 million. - Rent of $378–$382 million. - Comparable center revenue growth raised to 8.5%–8.7% from 7.9%–8.3%. - Interest expense, net of interest income, of about $59–$62 million, net of $27–$29 million of capitalized interest. - Non-cash rent expense of $33–$35 million. - Cash income tax expense cut to $82–$83 million from $103–$105 million. - Year-end weighted-average diluted shares of about 228–229 million, excluding any buyback impact. - Full-year net income will include net losses on sale-leaseback transactions. The company reiterated the following: - Opening 14 new clubs totaling about 1.3 million square feet. Seven were open by September 30 and one more opened in October; the remaining six are due in Q4. - About $135 million of additional sale-leasebacks in Q4, for about $400 million for the full year. - Maintenance capex of $140–$150 million. - Modernization and technology capex of $140–$150 million. - Growth capex of $885–$910 million. - A 27% provision tax rate. - Net debt to Adjusted EBITDA leverage at or below 2.00x.
LTH YoY Financials
| Metric | Q3 2026 | Q3 2025 | Year over year |
|---|---|---|---|
| Revenue | $893.5M | $782.6M | +14.2% |
| Operating Income | $158.0M | $135.6M | +16.5% |
| Net Income | $106.5M | $102.4M | +4.0% |
LTH Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.