MINDBODY Announces 28 Percent Q1 2018 Growth, New Digital App

MINDBODY, San Louis Obispo, California, reported first-quarter revenue of $53.8 million, a 28 percent increase over the same period last year, according to financials released May 8.

Subscription and services revenue during the first quarter increased 31 percent to $32.7 million, and payments revenue increased 21 percent to $20.2 million.

“Q1 was a pivotal quarter for MINDBODY,” CEO Rick Stollmeyer said in a media release about the earnings. “With nearly 45 million consumer bookings on our mobile apps and a more than doubling of promoted offer sales year over year, our consumer marketplace strategy is in full swing. Now, with the acquisitions of FitMetrix, Booker and Frederick, we are positioned for an acceleration of consumer adoption and strong growth for years to come.”

Subscribers decreased 3 percent during the quarter from 59,919 in 2017 to 57,909 in 2018. However, average monthly revenue per subscriber grew 31 percent to $302.

Adjusted EBITDA for the quarter was $4.6 million, compared to $1.1 million during the same period last year.

On May 2, MINDBODY announced its new brand app was now available for Android and iOS.

"Combined class lists and easy-to-use filters make it easier for people to explore and book a wide variety of workouts offered at the time, place and price that best fit their lifestyles," a media release said of the app.

On May 3, MINDBODY announced a partnership with the nonprofit Partnership for a Healthier America (PHA). MINDBODY is now part of PHA's Healthier Campus Initiative and will provide free software access to select college campus fitness centers.

"Together with PHA, we intend to help make America well by helping people nationwide more easily engage with fitness and wellness activities," Stollmeyer said in the media release.

For the second quarter of 2018, Stollmeyer said he expected revenue in the range of $59.5 million to $61.5 million. For the entire year, he is targeting at least a $246 million, or 35 percent increase over 2017.