Life Time’s Premium Model Thrives Amidst Growing Consumer Wellness Trends and Strong Q1 Performance
Life Time Reports Strong Q1 Growth Amid Wellness Trend
Life Time, the upscale athletic country club operator, has kicked off 2025 with impressive momentum, reporting an 18.3% increase in first-quarter revenue, reaching $706 million. This surge is attributed to higher membership dues, increased spending within its centers, and a notable rise in utilization across its premium facilities. Memberships have grown by 3% year-over-year, reflecting a sustained demand for Life Time’s high-end offerings.
CEO Bahram Akradi expressed confidence in the brand’s premium model, stating, “We continue to see increased member engagement, with visits and revenue per membership at new highs.” He highlighted the desirability of the Life Time brand, which has successfully attracted and retained a higher quality of memberships. With a robust balance sheet, the company is poised to capitalize on future opportunities, planning to open 10 to 12 new clubs annually.
Akradi addressed concerns about tariffs during the earnings call, noting that Life Time is largely insulated from potential disruptions. The company sources most of its equipment from Italy and Sweden, which helps mitigate risks associated with current trade developments. He emphasized that Life Time is prepared to navigate economic pressures, stating, “We are well positioned for an economy that is growing or an economy that might be in recession for two, three quarters.”
Echoing sentiments from other industry leaders, Akradi suggested that economic uncertainty could actually benefit Life Time. “When you go through a recessionary period, customers start pulling back on big spends. They have more time and will utilize their memberships more, leading to better retention for us,” he explained.
To enhance the social wellness experience, Life Time has introduced new offerings, including FitVine as the official wine sponsor of Life Time Pickleball, providing exclusive tastings and events. Additionally, cold plunges have been added to over 70 clubs, further enriching the member experience.
On the digital front, Life Time’s free app, LT Digital, has surpassed 2 million subscribers. The company recently opened the LT Digital Studio in New York to create more content for the app, which offers a variety of on-demand and livestream classes, personalized health programs, and wellness content. The app also serves as a gateway to LTH, Life Time’s growing supplement brand, which Akradi aims to establish as a trusted name in nutrition.
Life Time’s commitment to holistic wellness extends to Miora, its clinic focused on longevity and performance, which recently opened its second location. Akradi announced plans for at least six more openings throughout the year, emphasizing the company’s dedication to personalized health guidance and recovery therapies.
As Life Time continues to thrive in the wellness sector, its premium model appears well-positioned to meet the evolving needs of consumers seeking quality and engagement in their fitness journeys.
