May 7, 2025 | Fellow Shareholders:

 

As we move closer to completing our acquisition of Sportstech Brands Holding GmbH, we want to share a quick update on Sportstech’s recent financial performance – which we believe reinforces why we are so excited about this business.

As reported in their recent announcement, Sportstech delivered strong business momentum through April 2025 – including LTM and YTD performance,  with: 

• April 2025 revenues up 36% YOY; 
• Approximately $54M (€47M) of LTM revenue and $5M (€5M) of LTM EBITDA at current FX rates; and 
• YTD revenue growth of 8% YOY through April 2025

As a reminder, Sportstech is a leading direct-to-consumer fitness brand with a strong position in Germany and across Europe, and has been built profitably without outside investor capital.

 

What This Means for Our Shareholders

Starting off 2025 with this strong performance reaffirms our conviction that Sportstech is not only a growth leader in the home fitness space but also a very well-run business. 

In an environment where it seems that TRNR’s share price is pressured without regard to underlying business value or operating progress, we hope these new tangible financial results highlight Sportstech’s:

• Operational Excellence:
  The disciplined approach to cost control and targeted investments in product innovation are yielding tangible results.
• Market Traction:
  Strong revenues validate that Sportstech holds a competitive edge in a rapidly evolving industry with the right kind of consumer buyer.
• Synergy Potential with TRNR and Wattbike:
  As we plan around integrating Sportstech’s operations with TRNR’s broader digital fitness ecosystem, the enhanced scale and geographic diversification will position us for accelerated growth over the coming quarters.

Looking Ahead

We are confident that we are only just beginning and that our 2025 performance will be strong. 

This is, in part, why we – as Sportstech’s announcement highlights – are making a supplier-planning trip to China in a couple weeks with Ali Ahmad, that company’s Founder and CEO. We expect to be able to cut better deals with suppliers, knowing that our European revenue has not been affected by tariffs, which gives us more leverage as they see US companies cancel orders. 

We’re also finalizing regulatory steps and integration planning to ensure that, once closed, we can maximize the combined company’s potential. There is already a meeting this week in the UK between the TRNR, Wattbike and Sportstech teams to sketch this out.

We maintain our high conviction about this acquisition, as well as about Wattbike, our other target. 

We believe shareholders should take confidence in the operational momentum we’re already seeing in our new partner and we look forward to sharing more soon. 

Thank you for your continued support.