FitLife’s stock rallied 10.2% following a first quarter marked by revenue growth driven primarily by the Irwin acquisition and sequential improvement in monthly revenue, despite ongoing margin pressures and organic revenue declines in core segments.

• Total revenue grew 59% year-over-year to $25.3 million, led by the Irwin acquisition, with Legacy FitLife revenue declining 22% year-over-year.
• Gross margin contracted to 37.6% from 43.1% a year ago, reflecting Irwin’s lower margins, although both legacy and acquired businesses showed sequential margin improvement.
• Adjusted EBITDA declined 3% year-over-year to $3.3 million, mainly due to higher amortization and interest expense related to the acquisition.
• Legacy FitLife contribution decreased 27% to $4.3 million, with both online and wholesale sales down, impacted by lost revenue from major wholesale customers.
• Irwin reported a 13% organic revenue decline largely due to out-of-stock issues but showed promising growth in its Amazon channel, with subscriber counts on Amazon increasing more than tenfold during the quarter.