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Planet Fitness Announces First Quarter Financial Results

On May 8, 2025, Planet Fitness, Inc. (NYSE: PLNT) revealed its impressive financial performance for the first quarter ending March 31, 2025. The fitness giant recorded significant metrics reflecting its continuous growth strategy and strong market positioning, effectively responding to a dynamic economic landscape.

Financial Highlights

Among the key insights from the quarter:

• - Total Revenue Growth: Planet Fitness achieved an 11.5% increase in total revenue, rising from $248 million the previous year to $276.7 million. This uptick was attributed to robust sales across both corporate-owned and franchisee-operated clubs.
• - System-Wide Sales Increase: System-wide sales surged to $1.3 billion, up by $94.6 million compared to $1.2 billion reported last year, reinforcing the company’s strength in the fitness market.
• - Membership Surge: Planet Fitness proudly reported that total membership reached approximately 20.6 million, marking an increase of about 900,000 new members since the end of 2024.
• - Net Income and EPS Surge: Net income attributable to Planet Fitness rose to $41.9 million, translating to $0.50 per diluted share, compared to $34.3 million or $0.39 per diluted share in the prior year. Adjusted net income also increased to $50 million or $0.59 per diluted share, signaling effective cost management alongside revenue growth.

Operational Expansion

The first quarter also saw operational expansions with 19 new Planet Fitness locations launched, contributing to a total of 2,741 clubs by the end of March 2025. Of these, 16 were franchisee-owned, and three were corporate-owned, reflecting the effectiveness of its franchise model in scaling operations rapidly across various regions.

Strategic Initiatives

Colleen Keating, the Chief Executive Officer, highlighted the strategic initiatives that contributed to these results. She pointed out that recent marketing efforts have successfully improved public perceptions of the brand and demonstrated enhanced value for memberships, a vital factor in attracting a diverse clientele.

In a market characterized by increasing economic volatility, Planet Fitness has continued to promote its High Value Low Price model. Keating stated, "We are committed to providing our members with high-quality workout experiences in a welcoming environment, the hallmark of our Judgement Free Zone."

Looking Forward

Looking ahead to the remainder of 2025, Planet Fitness maintains optimistic projections. The company anticipates continuing its trend of expanding club openings, estimating that it will add between 160 to 170 new locations while continuing to project a 5% to 6% increase in same club sales. Adjusted EBITDA is expected to rise by approximately 10%, further solidifying its business plan and market strategy.

As economic conditions continue to evolve, Planet Fitness remains focused on mitigating potential impacts from external market shifts, especially concerning tariffs. Despite potential challenges, the company reiterated its confidence in achieving continued growth while enhancing shareholder value through share repurchase programs, which saw $50 million allocated to buybacks in the first quarter.

Conclusion

The financial results and operational expansions illustrate Planet Fitness’ aggressive strategic growth plan and resilience in the fitness sector. With a strong membership base and continued operational improvements, Planet Fitness is well-positioned to navigate future challenges while pursuing its mission of providing quality fitness experiences to all individuals seeking a supportive environment for their fitness journey.