By Alan Hatfield
Celebrity-friendly fitness franchisor F45 Training Holdings Inc. (NYSE: FXLV) today reaffirmed its full-year guidance following strong revenue, profit, and franchise growth in the first quarter.
The company finished the quarter on track toward its goal of selling 1,500 new franchises this year, logging 706 new full fee-paying franchises and a 175% total revenue increase over the prior year period to $50 million. F45 shares rose 6% on the news.
Same-store sales also increased 6% globally and 40% in the U.S. The company rolled out a new credit facility to provide approximately 1,000 out of 2,200 sold-but-not-yet-open franchisees with $250 million in committed capital from third-party lenders, in line with the goal of 1,000 studio openings this year.
Net income was reported at $2.5 million, compared to net loss of $36.8 million in the first quarter of last year, while adjusted EBITDA increased by 235% to $17.7 million on the year, representing an adjusted EBITDA margin of 35%, or an increase of 640 basis points from the same period last year.