Strong Revenue Growth
Total revenue increased by 14% to $761 million, driven by a 14% increase in membership dues and enrollment fees, and a 14.4% increase in in-center revenue.
Improved Financial Metrics
Net income for the quarter was $72.1 million, an increase of 36.5%. Adjusted net income was $84.1 million, up 60.5% year-over-year. Adjusted EBITDA increased by 21.6%, and the adjusted EBITDA margin improved by 170 basis points to 27.7%.
Membership and Engagement Growth
Center memberships increased to over 849,000. Average monthly dues grew 10.6% year-over-year to $219, and average revenue per center membership increased by 11.8%.
Cash Flow and Liquidity
Net cash provided by operating activities rose approximately 15% to $196 million. Free cash flow was $112 million, marking the fifth consecutive quarter of positive free cash flow.
Expansion Plans
Plans to accelerate development of new club openings, targeting 12 to 14 club openings in 2026. New clubs will average nearly 100,000 square feet.