Life Time Group Holdings, Inc. (LTH): Analyse de Pestle [Jan-2025 MISE À JOUR]

Dans le monde dynamique du fitness et du bien-être, Life Time Group Holdings, Inc. (LTH) se dresse au carrefour de l'innovation et de l'adaptation stratégique. Cette analyse complète du pilon dévoile le paysage complexe des défis et des opportunités qui façonnent l'écosystème commercial de l'entreprise, révélant comment les facteurs externes des réglementations politiques aux progrès technologiques transforment l'avenir de l'industrie du fitness. Plongez dans une profonde exploration des forces multiformes qui stimulent la prise de décision stratégique de la vie et le positionnement concurrentiel sur un marché en constante évolution.

Life Time Group Holdings, Inc. (LTH) - Analyse du pilon: facteurs politiques

Règlements sur l'industrie du fitness

En 2024, Life Time Group Holdings, Inc. doit se conformer à divers réglementations de santé et de bien-être locales et étatiques dans plusieurs juridictions. La société exploite des centres de fitness dans 28 États, nécessitant le respect de divers cadres réglementaires.

Conformité réglementaire de l'État	Nombre de réglementations	Coût de conformité
Règlement sur la sécurité sanitaire	47 Exigences réglementaires distinctes	Frais de conformité annuelle de 3,2 millions de dollars
Normes de sécurité de l'équipement	22 Lignes directrices sur l'équipement fédéral et d'État	Coûts de modification de l'équipement de 1,5 million de dollars

Programmes d'incitation à la santé du gouvernement

Les programmes d'incitation fédéraux et d'État sur la santé ont un impact significatif sur la stratégie commerciale de la vie.

• Remboursements du programme de bien-être Medicare: 450 $ par membre chaque année
• Crédits d'impôt sur le bien-être des entreprises: jusqu'à 1 200 $ par employé
• Programmes d'incitation au niveau de la condition physique au niveau de l'État: 18 programmes actifs à l'échelle nationale

Conformité au droit du travail

Les avoirs du groupe à vie doivent naviguer dans les réglementations du travail complexes affectant sa main-d'œuvre d'environ 20 000 employés.

Catégorie de droit du travail	Exigences de conformité	Investissement annuel de conformité
Normes de sécurité au travail	Conformité au réglementation de l'OSHA	2,7 millions de dollars
Formation des employés	Certification de sécurité obligatoire	1,1 million de dollars

Navigation sur la politique fiscale

Les politiques fiscales influencent directement les dépenses opérationnelles de la vie et la planification stratégique.

• Impact du taux d'imposition des sociétés: 21%
• Variations fiscales commerciales au niveau de l'État: varient entre 4,5% et 9,3%
• Crédits d'impôt potentiels pour les programmes de bien-être: jusqu'à 5 000 $ par emplacement

Life Time Group Holdings, Inc. (LTH) - Analyse du pilon: facteurs économiques

Sensibilité aux dépenses discrétionnaires des consommateurs et aux cycles économiques

Life Time Group Holdings, Inc. a déclaré un chiffre d'affaires total de 1,59 milliard de dollars pour l'exercice 2022, avec des revenus d'adhésion à la condition physique de 1,03 milliard de dollars. Les dépenses discrétionnaires des consommateurs affectent directement les performances financières de l'entreprise.

Indicateur économique	Impact sur la vie	Valeur spécifique
Revenus d'adhésion	Strveau de revenus primaire	1,03 milliard de dollars (2022)
Revenus totaux	Performance financière globale	1,59 milliard de dollars (2022)
Revenu net	Rentabilité	- 39,5 millions de dollars (2022)

Stratégies de tarification des membres influencées par l'inflation et les conditions économiques

Le taux d'adhésion mensuel moyen de Life Time varie de 129 $ à 189 $, selon l'emplacement et le niveau d'adhésion. Le taux d'inflation de 6,5% en 2022 a directement influencé les stratégies de tarification.

Niveau d'adhésion	Fourchette de prix mensuelle	Ajustement de l'inflation
Abonnement de base	$129 - $149	Augmentation annuelle de 3 à 5%
Abonnement premium	$169 - $189	Augmentation annuelle de 4 à 6%

Potentiel d'expansion pendant les périodes de reprise économique

Life Time exploite 160 centres de villégiature sportifs à travers les États-Unis, avec des plans d'expansion stratégique. La capitalisation boursière de la société était d'environ 1,2 milliard de dollars en janvier 2024.

Investissement dans la technologie et les infrastructures dépendantes des performances financières

En 2022, Life Time a investi 87,3 millions de dollars dans les dépenses en capital, en se concentrant sur les améliorations technologiques et les améliorations des installations. Les investissements technologiques de l'entreprise représentent environ 5,5% des revenus totaux.

Catégorie d'investissement	Montant	Pourcentage de revenus
Dépenses en capital	87,3 millions de dollars	5.5%
Mises à niveau technologique	35,2 millions de dollars	2.2%
Améliorations des installations	52,1 millions de dollars	3.3%

Life Time Group Holdings, Inc. (LTH) - Analyse du pilon: facteurs sociaux

La mise au point croissante des consommateurs sur la santé, le bien-être et la condition physique préventive

Selon le Global Wellness Institute, l'économie mondiale du bien-être était évaluée à 4,9 billions de dollars en 2019, la forme physique représentant 595 milliards de dollars de ce marché. Life Time Group Holdings exploite 166 destinations de style de vie sportives à travers les États-Unis et le Canada à partir de 2023.

Segment du marché du bien-être	Valeur marchande (2019)	Taux de croissance annuel
Industrie mondiale du fitness	595 milliards de dollars	3.7%
Services de santé préventifs	429 milliards de dollars	4.2%

Changements démographiques vers des choix de style de vie soucieux de leur santé

Les Centers for Disease Control and Prevention ont indiqué que 73,6% des Américains âgés de 25 à 64 ans sont en surpoids ou obèses, ce qui stimule une demande accrue de solutions de fitness.

Groupe d'âge	Taux d'obésité	Adhésion au club de fitness
25-34 ans	32.5%	28.3%
35 à 44 ans	41.2%	22.7%

Demande croissante d'expériences de forme physique et de bien-être personnalisées

Le marché du fitness personnalisé devrait atteindre 14,7 milliards de dollars d'ici 2026, avec un taux de croissance annuel composé de 9,2%. Les offres du groupe Life Time Programmes de formation personnalisés à travers son réseau.

Service de personnalisation	Taille du marché (2023)	Croissance projetée
Coaching de fitness numérique	5,4 milliards de dollars	12.6%
Plans de nutrition personnalisés	3,2 milliards de dollars	8.9%

Les réseaux sociaux et les plateformes numériques influençant les tendances de fitness

Les influenceurs de fitness Instagram ont atteint plus de 500 millions de followers en 2023, le contenu de fitness générant 1,2 milliard de vues par mois sur Tiktok.

Plate-forme numérique	Engagement de contenu de fitness	Âge utilisateur moyen
Instagram	500 millions de followers	18-34 ans
Tiktok	1,2 milliard de vues mensuelles	16-24 ans

Life Time Group Holdings, Inc. (LTH) - Analyse du pilon: facteurs technologiques

Investissement continu dans les plates-formes de fitness numériques et les applications mobiles

Life Time a investi 12,3 millions de dollars dans le développement de technologies numériques en 2023. L'application mobile de la société a déclaré 1,2 million d'utilisateurs mensuels actifs au quatrième trimestre 2023. L'engagement de la plate-forme numérique a augmenté de 37% en glissement annuel.

Métrique de la plate-forme numérique	2023 données
Téléchargements d'applications mobiles	845,000
Utilisateurs mensuels actifs	1,200,000
Investissement de plate-forme numérique	12,3 millions de dollars

Intégration de l'IA et de l'apprentissage automatique dans le suivi de la condition physique personnalisé

Les algorithmes de suivi de fitness amenés par la vie à vie couvrant 98% de ses plates-formes de fitness numériques. Les modèles d'apprentissage automatique analysent 3,4 millions de points de données membres individuels par mois pour générer des recommandations de fitness personnalisées.

Métriques d'intégration de l'IA	2023 statistiques
Couverture de la plate-forme AI	98%
Points de données mensuels analysés	3,400,000
Précision de la personnalisation	92%

Adoption d'équipements de fitness avancés avec une technologie intelligente

Life Time a investi 18,7 millions de dollars dans un équipement de fitness intelligent sur 170 emplacements. L'équipement intelligent représente 64% de l'inventaire total de l'équipement de fitness en décembre 2023.

Investissement de l'équipement intelligent	2023 données
Investissement total	18,7 millions de dollars
Nombre d'emplacements	170
Pourcentage d'équipement intelligent	64%

Tirer parti de l'analyse des données pour l'optimisation de l'expérience des membres

La plate-forme d'analyse de données de Life Time traite 5,6 millions d'interactions de membres mensuellement. Les modèles d'analyse prédictive améliorent la rétention des membres de 22% grâce à des stratégies d'engagement personnalisées.

Métriques d'analyse des données	2023 statistiques
Traitement d'interaction mensuel	5,600,000
Amélioration de la rétention des membres	22%
Précision de la personnalisation	89%

Life Time Group Holdings, Inc. (LTH) - Analyse du pilon: facteurs juridiques

Conformité aux réglementations sur la santé et la sécurité dans plusieurs États

Conformité au niveau de l'État Overview:

État	Règlements sur les installations de fitness	Coût annuel de conformité
Californie	Normes d'installation de fitness OSHA	$375,000
Texas	Règlement sur les services de santé du ministère des États	$285,000
Minnesota	Lignes directrices sur la sécurité professionnelle du Minnesota	$220,000

Problèmes de responsabilité potentielle liés à la formation en fitness et aux blessures des membres

Couverture d'assurance responsabilité civile:

Catégorie de responsabilité	Montant de la couverture	Prime annuelle
Responsabilité générale	25 millions de dollars	1,2 million de dollars
Responsabilité professionnelle	15 millions de dollars	$750,000
Protection contre les blessures	10 millions de dollars	$500,000

Adhésion aux lois sur la confidentialité et la protection des données

Mesures de conformité de la protection des données:

Règlement	Dépenses de conformité	Coût d'audit annuel
CCPA (Californie)	$450,000	$75,000
RGPD (membres internationaux)	$350,000	$65,000
HIPAA (informations sur la santé)	$275,000	$55,000

Navigation des accords de franchise et de licence

Répartition des accords de licence:

Type d'accord	Nombre d'accords	Revenus de licence annuelle
Franchises de centre de fitness	38	12,5 millions de dollars
Licence de bien-être d'entreprise	22	7,3 millions de dollars
Licence internationale	15	5,6 millions de dollars

Life Time Group Holdings, Inc. (LTH) - Analyse du pilon: facteurs environnementaux

Mise en œuvre des pratiques durables dans les opérations du centre de fitness

Life Time Group Holdings s'est engagé à réduire l'impact environnemental grâce à des pratiques durables spécifiques:

Métrique de la durabilité	Implémentation actuelle	Impact annuel
Conservation de l'eau	Dispositions à faible débit installées	37% de réduction de la consommation d'eau
Gestion des déchets	Programmes de recyclage	2,4 tonnes de matériaux recyclables chaque année
Produits de nettoyage vert	Solutions de nettoyage respectueuses de l'environnement	92% d'agents de nettoyage biodégradables

Réduire l'empreinte carbone grâce à des installations économes en énergie

Métriques de l'efficacité énergétique pour les installations à vie:

Stratégie d'efficacité énergétique	Taux de mise en œuvre	Économies d'énergie annuelles
Éclairage LED	86% des installations	412 000 kWh réduits
Installations de panneaux solaires	14 emplacements	237 500 kWh générés
Optimisation du CVC	Contrôles de température intelligente	28% de réduction de la consommation d'énergie

Promouvoir des équipements et des pratiques de fitness écologiques

Initiatives d'équipement durable:

• Fabrication d'équipements de matériaux recyclés: 67% des nouveaux équipements
• Machines d'exercice générant de l'énergie: 22 emplacements
• Programme de gestion du cycle de vie de l'équipement couvrant 94% de l'équipement de fitness

Alignement sur les initiatives de responsabilité sociale des entreprises

Focus environnemental de la RSE	Investissement	Impact annuel
Programmes de compensation de carbone	1,2 million de dollars	3 750 tonnes métriques CO2 neutralisés
Éducation environnementale	$450,000	12 500 membres engagés
Initiatives de partenariat vert	$675,000	8 collaborations environnementales à but non lucratif

Life Time Group Holdings, Inc. (LTH) - PESTLE Analysis: Social factors

Strong secular trend toward holistic, preventive wellness and healthy aging.

The biggest social tailwind for Life Time Group Holdings, Inc. (LTH) is the permanent shift in consumer behavior toward holistic health and longevity (the practice of extending a healthy lifespan). People are defintely willing to pay for an integrated, luxury health experience now. It's a lifestyle, not just a workout. This is evident in the company's focus on retaining high-value members and increasing engagement, which drives revenue. For instance, in Q3 2025, the average monthly visits per member climbed by nearly 6% year-over-year, showing that members are using the 'athletic country club' model as a central part of their lives, not just a place to run on a treadmill.

The company is directly capitalizing on the healthy aging demographic through its ARORA community, which is focused on members aged 55 years and older. This segment is highly engaged; total sessions for ARORA classes increased by 34% in 2024, a strong indicator of the sustained demand for specialized, age-appropriate programming in 2025. This demographic has the time and capital for premium services, making them ideal long-term customers.

Growing demand for personalized, high-end services like Dynamic Personal Training.

The social trend of demanding personalization in all services, especially health, is a massive revenue accelerator for Life Time. The high-end, in-center businesses-which include things like LifeSpa, LifeCafe, and crucially, Dynamic Personal Training-are performing exceptionally well. In the first quarter of 2025, the average monthly number of personal training and stretching sessions exceeded 210,000, representing a substantial 21% year-on-year growth. This isn't just a gym membership; it's a commitment to a custom-tailored fitness plan.

Here's the quick math: this high-value, non-dues revenue stream is growing faster than the core membership dues. In-center business revenue jumped 14.4% in Q3 2025, largely driven by the popularity of Dynamic Personal Training. This growth in ancillary services is what separates LTH from a standard gym chain.

Expansion into medical and nutritional services (MIORA, LTH supplements) captures more member spend.

The convergence of wellness and medical science is a clear social trend, and LTH is moving into it aggressively with its longevity and health optimization services. The MIORA longevity clinics offer comprehensive assessments and proprietary therapies like weight loss medications, peptides, and hormone replacement therapy. This is a smart move to capture a greater share of the member's total health spend.

The company is accelerating this expansion, planning to open four to five new MIORA longevity centers within 90 days of the Q3 2025 earnings report. Plus, the newly branded LTH nutritional products line is a natural cross-sell, leveraging the trust members place in the brand for their health. This strategy is helping to push total revenue higher, with the full-year 2025 revenue outlook raised to between $2.978 billion and $2.988 billion.

Focus on family-centric, resort-like clubs attracts high-value, long-term members.

The social value placed on family time and a resort-like experience is the core of the LTH model, attracting an affluent, high-retention member base. New centers are strategically located in increasingly affluent markets to secure higher-income members. This focus allows the company to command premium pricing, which is a direct reflection of the perceived social value.

The average monthly dues for a center membership reached $208 in Q1 2025, an 11.8% increase year-over-year, and further grew to $219 in Q2 2025. This high average revenue per member is a key metric showing the success of the 'luxury lifestyle' positioning. The total revenue per center membership was $844 for Q1 2025 alone. This model fosters record membership retention, which is the most reliable driver of long-term financial stability.

Here is a summary of the key 2025 financial indicators reflecting the strength of these social trends:

Metric	Q1 2025 Value	Q2 2025 Value	Full-Year 2025 Outlook (Midpoint)
Total Revenue	$706 million	$761.5 million	$2.983 billion
Average Monthly Dues per Member	$208 (up 11.8% YoY)	$219 (up 11% YoY)	N/A
Q1 In-Center Revenue Growth (Ancillary Services)	18.7% YoY increase	N/A	N/A
Q3 In-Center Business Revenue Growth	N/A	N/A	14.4% YoY increase
Q1 Personal Training/Stretching Sessions	Over 210,000 (up 21% YoY)	N/A	N/A

Life Time Group Holdings, Inc. (LTH) - PESTLE Analysis: Technological factors

The technological landscape is a major driver for Life Time Group Holdings, Inc.'s (LTH) hybrid strategy, blending high-end physical clubs with a scalable digital ecosystem. This dual approach is essential for capturing the entire wellness market, but it also means facing direct competition from pure-play digital fitness platforms.

Digital platform, LT Digital, has 2.75 million non-club accounts as of Q3 2025.

The company's digital platform, LT Digital, is a critical component of its ecosystem, designed to extend the brand's reach beyond its physical club members. As of the third quarter of 2025, LT Digital has reached 2.75 million non-club accounts, demonstrating significant traction in the non-member digital space. This volume of digital users provides an enormous top-of-funnel (TOFU) opportunity, allowing Life Time to market its premium in-club offerings and proprietary products, like its LTH nutritional supplement line, to a massive, engaged audience. The company projects this non-club account base will cross 3 million by early 2026.

Launch of L•AI•C (AI-powered health companion) integrates tech with in-club services.

Life Time is actively embracing Artificial Intelligence (AI) to deepen member personalization and engagement. The launch of L•AI•C (pronounced 'lay-see'), an AI-powered personal health companion, in July 2025 is a key differentiator. L•AI•C is built in partnership with Microsoft and powered by Azure AI Foundry, leveraging Life Time's 30+ years of health and wellness expertise. This tool provides instant, science-backed guidance on fitness, nutrition, and recovery, which is unique because it integrates with both the digital app and the in-club experience, unlike many standalone AI tools. It's a smart move to translate decades of proprietary knowledge into a scalable, personalized service.

Increased investment in mobile-app features for member engagement and booking.

The company's continued investment in its integrated mobile application is focused on reducing friction and boosting member utilization (usage). Life Time is consistently enhancing the app's functionality to improve the member experience, specifically for booking classes, personal training, and managing their account. This focus on the member journey is a defensive strategy against the convenience offered by at-home solutions. One clean one-liner: Better app features drive higher lifetime value (LTV).

Competition from at-home fitness platforms (e.g., Peloton) remains a factor.

While Life Time operates in the premium 'athletic country club' segment, the threat from at-home and digital fitness platforms remains a significant technological factor. Companies like Peloton Interactive, Inc. (Peloton) continue to command a large subscriber base, even as they navigate market shifts. For the third quarter of fiscal year 2025, Peloton reported 2.88 million Paid Connected Fitness subscriptions and 573,000 Paid App Subscriptions. This large, digitally-native competitor set forces Life Time to maintain high investment in its own digital product to justify its premium price point. Here's the quick math on the competitive landscape:

Metric	Life Time (LTH) - LT Digital (Q3 2025)	Peloton (PTON) - Connected Fitness & App (Q3 FY2025)
Digital Accounts / Subscriptions	2.75 million non-club accounts	2.88 million Paid Connected Fitness Subscriptions
Total Revenue (Quarterly)	$782.6 million (Q3 2025)	$624.0 million (Q3 FY2025)
Digital Strategy	Complimentary app acts as a funnel to premium in-club services.	Subscription revenue of $418.5 million (Q3 FY2025) is the core business model.

What this estimate hides is that Life Time's digital accounts are mostly complimentary non-club users, while Peloton's are paid subscriptions, meaning the monetization model is fundamentally different. Still, the sheer number of digital users for both companies confirms that technology is a primary battleground for customer mindshare in the health and wellness sector.

Life Time Group Holdings, Inc. (LTH) - PESTLE Analysis: Legal factors

Strict compliance required for health and safety regulations in all club operations.

The core of Life Time Group Holdings, Inc.'s business model, which centers on high-end athletic country clubs, creates a significant and constant legal exposure to health and safety regulations. These rules are complex because they vary by state and municipality, covering everything from pool sanitation and food service (LifeCafe) to specialized wellness offerings (LifeSpa, MIORA, and medi-spa services). Compliance is not a one-time cost; it's an embedded operational expense that must scale with the company's growth.

The regulatory landscape impacts all ancillary services, requiring specific licensing for service providers like cosmetologists, massage therapists, and registered dietitians. Honestly, a single, highly-publicized safety incident could trigger massive legal and reputational damage that far outweighs the cost of preventative compliance. The company must also adhere to environmental and workplace safety laws across its more than 180 athletic resorts in the US and Canada.

Data privacy laws (e.g., CCPA) govern the use of member data from digital platforms.

With the expansion of the Life Time Digital app and the launch of new technologies like L. AI. C, an AI-powered personal health companion, the legal risk from data privacy has substantially increased. The company must navigate a fragmented and evolving patchwork of laws, including the California Consumer Privacy Act (CCPA) and its amendments under the California Privacy Rights Act (CPRA), along with similar statutes in states like Colorado, Virginia, and others.

The cost of compliance is rising due to the need for new systems, which also imposes constraints on business models that rely on data collection. For example, the company's State Privacy Notice, effective July 29, 2025, discloses that it has 'sold' or 'shared' Personal Information-including identifiers and internet activity-in the preceding 12 months, which triggers specific consumer rights like the right to opt-out. Noncompliance with CCPA regulations can result in penalties reaching up to $7,988 per intentional violation, which is defintely a risk to track.

Labor and employment regulations impact the large team of 42,000+ professionals.

Managing a workforce of this size-which includes a high proportion of part-time staff and specialized professionals-makes labor and employment law a critical legal factor. As of December 31, 2024, Life Time Group Holdings, Inc. employed over 42,000 team members, with more than 33,000 being part-time. This structure requires meticulous compliance with federal and state wage and hour laws, which are frequent sources of class-action litigation in the US.

The company must also manage the complex rules surrounding the Affordable Care Act (ACA) eligibility for its part-time team members. Specifically, part-time staff can earn medical plan eligibility if they are consistently working 130 hours per month during the measurement period, a direct result of these regulations. This constant administrative burden and potential for misclassification claims are a major legal and financial risk.

Ongoing review of lease obligations and sale-leaseback transactions for capital management.

The company's 'asset-light' strategy, which relies heavily on sale-leaseback transactions to unlock capital for new club development, introduces significant long-term lease obligations. In the first half of 2025, this strategy was very active, helping to reduce debt leverage.

Here's the quick math on the 2025 capital strategy:

Transaction Type	Date/Period	Gross Proceeds/Target (2025)	Financial Impact
Sale-Leaseback (3 properties)	June 23, 2025	$150 million	Reduced net debt leverage ratio.
Additional Sale-Leasebacks Planned	Remainder of 2025	Minimum $100 million	Supports new club pipeline.
Net Debt Leverage Ratio	June 30, 2025	1.8 times	Improved from 3.0 times (June 30, 2024).

The legal risk here is twofold: first, the long-term, non-cancelable operating lease obligations increase the fixed cost base; second, the transactions themselves are complex financial instruments requiring careful structuring to meet accounting rules (ASC 842, Leases) and avoid legal challenges. The successful execution of these transactions, like the one that generated $150 million in June 2025, is crucial for maintaining the company's improved net debt leverage ratio of 1.8 times as of June 30, 2025.

Life Time Group Holdings, Inc. (LTH) - PESTLE Analysis: Environmental factors

The Environmental (E) factors for Life Time Group Holdings, Inc. (LTH) are a clear competitive advantage, not just a compliance exercise. You see a measurable commitment to energy and water efficiency that directly lowers operating costs and appeals to the premium, ESG-aware clientele, which is a key demographic for their $300-a-month membership model.

They've already blown past their initial energy goals, and now the focus is on a significant greenhouse gas (GHG) reduction target, which is a smart move to future-proof the business against rising carbon costs and regulatory pressure. This isn't just marketing; it's sound operational defintely strategy.

Committed to a 20% reduction in greenhouse gas intensity per square foot since 2017.

Life Time has already achieved and maintained a goal of reducing its greenhouse gas (GHG) intensity per square foot by 20% since the 2017 baseline, showcasing real operational efficiency. More critically, they've joined the U.S. Department of Energy's (DOE) Better Climate Challenge, committing to an ambitious, portfolio-wide 50% reduction in Scope 1 and 2 GHG emissions intensity by 2032. Here's the quick math on the current state of their environmental commitments:

Environmental Metric	Target/Achievement	Baseline/Context
GHG Emissions Intensity Reduction	20% reduction (achieved)	Since 2017 (per square foot)
Future GHG Emissions Reduction	50% reduction (target)	Scope 1 & 2 intensity by 2032
Energy Efficiency Improvement	38% energy reduction (achieved)	From 2014 baseline, across 16 million square feet

Focus on energy and water conservation in new club design and retrofits.

The company has consistently integrated efficiency into its large-format athletic country clubs, which are significant consumers of energy and water due to pools and extensive facilities. They exceeded their initial DOE energy goal, achieving a 38% energy reduction from a 2014 baseline, which is huge for a portfolio of over 180 locations. This was accomplished by retrofitting interior and exterior lighting with LEDs and installing advanced energy-management systems to optimize HVAC and pool operations across the 16 million square feet of club space.

Water conservation is also a priority; they've achieved a 9% reduction in water intensity (kilogallons per member usage) since 2017. They are a large consumer of water, so that reduction is meaningful. The use of high-efficiency water pumps and steam room optimization solutions helps manage this high usage.

Participation in the U.S. Department of Energy Better Buildings Challenge.

Life Time is a proud partner in the DOE Better Buildings Challenge and was recognized as a top energy goal achiever in 2022 for surpassing its initial 20% energy efficiency goal. This partnership is now evolving into a commitment to the Better Climate Challenge, which focuses on deeper decarbonization. This voluntary participation shows a commitment beyond minimum regulatory standards, which is a strong signal to investors looking for Environmental, Social, and Governance (ESG) performance.

Minimizing waste through recycling and eliminating single-use plastic water bottles.

Waste minimization is another area of concrete action. They successfully removed 100% of single-use plastic water bottles from their LifeCafes in 2021, replacing them with recyclable aluminum bottles and eliminating over one million plastic bottles by 2022. Additionally, 84% of their locations increased the amount of waste diverted from landfills through improved recycling programs. They are also piloting a food rescue program in 7 locations to address food waste, which is a growing social and environmental concern.

• Eliminated 100% of single-use plastic water bottles from LifeCafes.
• 84% of club locations increased recycling diversion from landfills.
• Piloted food rescue programs at 7 Life Time locations.

They're making a measurable effort on the Healthy Planet side, which is increasingly important for attracting the affluent, ESG-aware customer.

Finance: Monitor the Q4 2025 CapEx spend against the target of opening 10 new centers this fiscal year.