CHANHASSEN, Minn. (AP) — Health club operator Life Time Fitness Inc. reported Thursday that its fourth-quarter net income increased nearly 13 percent on improved revenue from membership fees and sales within its clubs.
Life Time earned $19.8 million, or 48 cents per share, for the period ended Dec. 31, compared with $17.6 million, or 43 cents per share, in the 2010 fourth quarter. Excluding the impact of performance compensation expenses for its leaders, the company earned 59 cents per share.
Revenue increased more than 12 percent to $250.9 million from $223.7 million.
Analysts, on average, expected adjusted earnings of 56 cents per share, on revenue of $246.3 million for the period.
Life Time said that it expects its membership and other revenue to continue to improve in the coming year. It forecast profit of $2.60 to $2.72 per share for 2012 on revenue of $1.11 to $1.14 billion. Analysts expect earnings of $2.76 per share on revenue of $1.12 billion.
The company posted full year earnings of $92.6 million, or $2.26 per share. That's up from $80.7 million, or $2 per share, for 2010. It earned $2.42 per share on an adjusted basis.
Annual revenue rose 11 percent to $1.01 billion from $912.8 million.
Life Time, based in Chanhassen, Minn., operates 93 fitness centers under the Life Time Fitness and Life Time Athletics brands in 21 states. The company also operated nine additional acquired facilities, which it is transitioning to become Life Time centers.
Shares of the company were up 29 cents to $50.58 in midday trading