Life Time Fitness Beats Analyst Estimates on EPS
Life Time Fitness (NYS: LTM) reported earnings on April 19. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended March 31 (Q1), Life Time Fitness met expectations on revenue and beat slightly on earnings per share.
Compared to the prior-year quarter, revenue improved and GAAP earnings per share expanded significantly.
Gross margin contracted, operating margin improved, and net margin improved.
Life Time Fitness logged revenue of $268.4 million. The eight analysts polled by S&P Capital IQ expected a top line of $271.6 million on the same basis. GAAP reported sales were 12% higher than the prior-year quarter's $240.6 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.62. The seven earnings estimates compiled by S&P Capital IQ predicted $0.61 per share. GAAP EPS of $0.62 for Q1 were 22% higher than the prior-year quarter's $0.51 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 40.1%, 210 basis points worse than the prior-year quarter. Operating margin was 18.0%, 120 basis points better than the prior-year quarter. Net margin was 9.6%, 90 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $288.0 million. On the bottom line, the average EPS estimate is $0.71.
Next year's average estimate for revenue is $1.14 billion. The average EPS estimate is $2.71.
The stock has a one-star rating (out of five) at Motley Fool CAPS, with 157 members out of 352 rating the stock outperform, and 195 members rating it underperform. Among 131 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 57 give Life Time Fitness a green thumbs-up, and 74 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Life Time Fitness is outperform, with an average price target of $52.89.
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At the time this article was published Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.