TRNR | Shareholder Update – Our Market

 

June 4, 2025 | Fellow Shareholders:

 

Bank of America analysts (Bank of America Analysts: Wellness Industry Expected to Boom | Entrepreneur) just put a stamp on what many in the wellness world – including the teams at TRNR, Sporstech and Wattbike – have felt coming for some time: the wellness sector is expected to skyrocket to $7 trillion by the end of this year, and climb to $8.5 trillion by 2027. 

 

That’s a nearly 25% jump in just two years.

 

Key takeaway: wellness is not just about activities like yoga and product SKUs like supplements – it’s a real economy in itself. According to the BofA analysts, we’re witnessing a complete redefinition of how global consumers engage with fitness, beauty, and health. 

 

We certainly see this ourselves, and we hope shareholders do as well. This macro trend is one of the root drivers of our M&A and global distribution strategies. 

 

Consumers are spending more on recovery tech, preventative care, mental wellness, healthy aging, and connected fitness solutions. What was once considered niche is now essential.

 

What’s powering the surge:

 

• Tech is reshaping access. Devices like smart bikes, wearables, and recovery tools are mainstreaming the wellness experience — from elite training to everyday wellness tracking.

 

This is a big part of the reason we are so focused on tech, including Sportstech’s key team in Bangalore and their expertise in apps, crypto and AI.

 

• Longevity is the new luxury. More consumers are investing in sleep, hormone therapies, diagnostics, and other wellness tools to extend health-span and lifespan.

 

The trend, which is significant among young people, not just aging Boomers, underscores that almost regardless of larger economic factors, people worldwide are investing in their long-term health. 

 

This, as we have said earlier this year, is a big tailwind for us (Year End Shareholder Letter). 

 

• Social and environmental awareness. Younger generations are placing value on mindfulness and sustainability, which shifts priorities toward wellness-first lifestyles.

 

TRNR sits at the epicenter of this shift. 

 

With acquisitions like Wattbike and Sportstech and new installs in places like Virgin Atlantic’s Clubhouse at LAX, TRNR delivers on the demand for performance, recovery, and smart training infrastructure. 

 

This macro trend isn’t only strategic – it’s also tactical – e.g., it’s helping to drive our strong Q1 performance (Q1 2025 Shareholder Letter) across all our businesses.

 

As we push regulators and tax authorities to complete the closing of our deals, we wanted to remind everyone why we’re building for the future, in this particular space, in the first place.

 

Thank you for your continued support!