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Sep 30, 2023

Planet Fitness Q3 2023 Earnings Report

Planet Fitness's Q3 2023 performance reflected growth in revenue, membership, and store count.

Key Takeaways

Planet Fitness reported a 13.6% increase in total revenue to $277.6 million, driven by an 8.4% increase in system-wide same-store sales and the opening of 26 new stores. The company ended the quarter with over 18.5 million members. Net income attributable to Planet Fitness, Inc. was $39.1 million, or $0.46 per diluted share.

Total revenue increased by 13.6% to $277.6 million.

System-wide same store sales increased by 8.4%.

Net income attributable to Planet Fitness, Inc. was $39.1 million, or $0.46 per diluted share.

Opened 26 new Planet Fitness stores, bringing the total to 2,498.

Total Revenue
$278M
Previous year: $244M
+13.6%
EPS
$0.59
Previous year: $0.42
+40.5%
System-Wide Same Store Sales
8.4%
Previous year: 8.2%
+2.4%
New Clubs Opened
26
Previous year: 29
-10.3%
Total Membership
18.5M
Previous year: 16.6M
+11.4%
Gross Profit
$143M
Cash and Equivalents
$309M
Previous year: $405M
-23.6%
Free Cash Flow
$70.1M
Total Assets
$2.94B

Planet Fitness

Planet Fitness

Planet Fitness Revenue by Segment

Forward Guidance

For the year ending December 31, 2023, the Company is updating or reiterating the following expectations as compared to the Company’s 2022 results, which assumes there are no material new supply chain disruptions

Positive Outlook

  • New equipment placements of between approximately 130 and 140 in franchisee-owned locations
  • System-wide new store openings of between approximately 150 and 160 locations
  • System-wide same store sales in the high single-digit percentage range
  • Revenue to increase approximately 14%
  • Adjusted EBITDA to increase approximately 18%

Challenges Ahead

  • Net interest expense to be in the low $70 million range
  • Capital expenditures to increase approximately 40%
  • Depreciation and amortization to increase in the high-teens percentage range

Revenue & Expenses

Visualization of income flow from segment revenue to net income