Life Time Group Holdings, Inc. (NYSE:LTH) Q2 2023 Earnings Conference Call July 25, 2023 10:00 AM ET
Company Participants
Ken Cooper - IR
Robert Houghton - EVP and CFO
Bahram Akradi - Founder, Chairman, and CEO
Conference Call Participants
Chris Carril - RBC Capital Markets
John Heinbockel - Guggenheim Securities
Brian Nagel - Oppenheimer & Company
Brian Harbour - Morgan Stanley
Robbie Ohmes - Bank of America
Chris Woronka - Deutsche Bank
Dan Politzer - Wells Fargo
Simeon Siegel - BMO Capital Markets
John Baumgartner - Mizuho Securities
Operator
Good morning and welcome to Life Time Group Holdings Second Quarter of 2023 Earnings Conference Call. Please be advised that reproduction of this call in whole or in part is not permitted without written authorization from the company. As a reminder, this conference call is being recorded
I will now turn the call over to Ken Cooper with Investor Relations for Life Time.
Ken Cooper
Good morning and thank you for joining us for the Life Time second quarter of 2023 earnings conference call. With me today are Bahram Akradi, Founder, Chairman, and CEO, and Bob Houghton, CFO. During this call, the company will make forward-looking statements, which involve a number of risks and uncertainties that may cause actual results to differ materially from those forward-looking statements made today.
There is a comprehensive discussion of risk factors in the company's SEC filings, which you are encouraged to review. Also, the company will discuss certain non-GAAP financial measures, including adjusted EBITDA, net debt to adjusted EBITDA or what we refer to as our net debt leverage ratio, and the free cash flow before growth capital expenditures.
This information along with reconciliations to the most directly comparable GAAP measures are included in the company's earnings release issued this morning, our 8-K filed with the SEC, and on the Investor Relations section of our website.
I'm now pleased to turn the call over to Bob Houghton. Bob?
Robert Houghton
Thank you, Ken, and good morning. We appreciate you joining us for our business update.
I will briefly review our second quarter 2023 financial results, which include continued strong revenue and adjusted EBITDA growth. Bahram will then provide his thoughts on the quarter and our strategic initiatives, which are all working to grow our business, improve profitability, increase cash flow, and reduce leverage.
Our second quarter revenue increased 22% to $562 million driven by a 25% increase in membership dues and enrollment fees and a 13% increase in incentive revenue. Center memberships increased to 26,000 from the first quarter and we ended June with approximately 790,000 memberships.