Life Time has announced its preliminary estimated financial results for the third quarter ending 30 September 2024 and launched a process to refinance its existing loan notes.

According to the latest research from the Health and Fitness Association, Life Time generated US$2.22 billion of sales in 2023, making it number one operator in the sector globally. It has some 1.5 million members and 175 sites.

The US country club operator, which includes spa and wellness, health and fitness, medical wellness and sports in its product mix, said its total revenue is estimated at US$693.2 million, an increase of 18.5 per cent over the prior year quarter.

Net income is estimated to be US$41.4 million, an increase of 422.5 per cent over the prior year quarter.

Adjusted net income increased by 110.9 per cent over the prior year quarter, estimated at US$56.3 million.

Adjusted EBITDA was also up by 26.1 per cent over the prior year quarter, estimated to be US$180.3 million.

Net debt leverage ratio has been reduced to an estimated 2.4 times and the company is expected to deliver a second consecutive quarter of positive free cashflow before sale and leaseback transactions.

CFO, Erik Weaver, says: "Our business continues to deliver strong revenue and adjusted EBITDA growth as we further strengthen our balance sheet. We look forward to providing our full financial results on October 24, 2024."

A process has been launched to refinance its 5.750 per cent senior secured notes due 2026 and 8.000 per cent senior notes due 2026.

As of 30 September, available liquidity was US$529.8 million.

Life Time, which was founded by Bahram Akradi is a diversified business, with wellness real estate, country club-style health clubs, outdoor sports events and medical wellness offerings within its portfolio.