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Planet Fitness Reports Impressive 2025 Financial Results

Planet Fitness, Inc. recently announced its financial outcomes for the fourth quarter and the entire year ended December 31, 2025. The company is celebrating a remarkable upward trajectory, buoyed by significant gross revenue growth and a substantial increase in net membership.

2025 Financial Overview

In the fourth quarter of fiscal 2025, Planet Fitness achieved a 10.5% increase in total revenue, climbing from $340.5 million to $376.3 million compared to the same period in the previous year. This remarkable performance contributed to the overall year revenue, which soared to $1.3 billion, reflecting a 12.1% growth from $1.2 billion.

Key Highlights:

• - Net Membership Growth: 1.1 million new members joined, bringing the total membership to approximately 20.8 million, demonstrating the fitness brand's strong appeal.
• - System-Wide Sales: Increased to $5.3 billion, up from $4.8 billion, showcasing the thriving business model and consumer confidence.
• - Same Club Sales Growth: Up 6.7% on a year-on-year basis, which underlines the stability and popularity of existing locations.
• - New Clubs Opened: An impressive 181 new clubs opened throughout the year, of which 158 were franchisee-owned, culminating in a total of 2,896 locations by year-end.

Quarterly Breakdown

In the fourth quarter alone, net income attributable to Planet Fitness rose to $60.4 million, translating to $0.73 per diluted share, compared to $47.1 million or $0.56 per diluted share in the preceding year. Adjusted net income also showed a consistent rise, reaching $69.0 million, which equates to $0.83 per diluted share. This uptick is attributed to a robust demand for Planet Fitness services, particularly following a 50% price increase for new Classic Card memberships, which took effect recently.

Performance by Segment:

• - Franchise Segment Revenue: Increased by 9.6% to $119.4 million in Q4, influenced by higher royalty revenues driven by 5.6% increases in same club sales.
• - Corporate-owned Clubs: The revenue for this segment reached $135.6 million, marking a 7.4% increase, attributed primarily to same club sales increases.
• - Equipment Segment: Saw a noteworthy 15.3% boost in revenue, climbing to $121.2 million due to robust demand for gym equipment from both existing and new franchisee-owned locations.

Ending Year in Strong Position

By the end of 2025, Planet Fitness reported cash and marketable securities worth $607 million, including cash and cash equivalents of $345.7 million. This financial cushion positions the company well for future growth and investment opportunities.

CEO Colleen Keating expressed satisfaction with the company's performance, emphasizing the success of their strategic imperatives and the dedication of both their franchisees and team members. "The progress we made on both our topline and new club growth is evidence of our powerful scale and reach," Keating highlighted, reinforcing Planet Fitness's commitment to making quality fitness experiences accessible to a growing global audience.

Future Outlook for 2026

Looking ahead, Planet Fitness aims for continued expansion. Projections for 2026 include 180 to 190 new club openings and upwards of 150 new equipment placements in franchisee-owned locations. The company is anticipating system-wide same club sales growth in the range of 4% to 5% and an approximately 9% revenue increase.

In summary, Planet Fitness has demonstrated a strong year of growth in 2025, both in membership and financial performance. The commitment to expanding their reach while maintaining quality service reflects their ongoing dedication to enhancing people's lives through fitness.