Equinox Posts Strong Quarter

NEW YORK — Equinox Holdings Inc.'s financial results for the three and six months ended June 30, 2004 show that total revenue for the period increased 22 percent to $36.5 million compared to $30.0 million in 2003.

Revenue from comparable fitness clubs rose 7 percent for the period, according to the company.

Operating income in the second quarter totaled $5.5 million versus $5.9 million in the comparable period of 2003. Adjusted EBITDA was $9.0 million, essentially flat compared to $8.9 million in the second quarter of last year, the company said.

Operating income and adjusted EBITDA reflect higher operating expenses related to an increase in the number of clubs in operation, as well as $920,000 of costs associated with a legal dispute. Net income was $1.2 million versus $948,000 in the comparable period of 2003.

“We're pleased to report another strong quarter. The results were driven by continued growth in all of our revenue categories, including membership fees, personal training, and other,” Harvey Spevak, president and chief executive officer, stated.

“During the period, we opened our 22nd club in Roslyn, NY, and we're on track to open an additional three locations in the fourth quarter of this year in Santa Monica, CA and Mamaroneck, NY, as well as a flagship location in San Francisco.”

For the six-month period ended June 30, 2004, total revenue increased 24 percent to $70.0 million versus $56.6 million in 2003. Revenue from comparable fitness clubs rose 7 percent as well, the club said. The company's business plan calls for increasing its number of fitness clubs from 21 to 40 by the end of 2006, according to the company's Web site.