NYSE$PLNT

Planet Fitness Inc · Q3 2022 earnings

Q3 2022 earnings · · Investor relations

Briefing

Planet Fitness reported strong Q3 2022 results, marked by revenue growth, increased membership, and same-store sales growth.

Planet Fitness, Inc. reported a 58.4% increase in total revenue to $244.4 million, driven by system-wide same store sales growth of 8.2%. The company ended the quarter with over 16.6 million members. They also updated their 2022 revenue, Adjusted EBITDA, and Adjusted net income growth expectations.

  • Total revenue increased by 58.4% to $244.4 million.
  • System-wide same store sales increased by 8.2%.
  • Net income attributable to Planet Fitness, Inc. was $26.9 million, or $0.32 per diluted share.
  • Adjusted EBITDA increased to $93.9 million from $61.7 million in the prior year period.

Headline financials

Total Revenue

$244M

Previous: $154M+58.4%
EPS (adj)

$0.42

Previous: $0.25+68.0%
System-wide Same Club Sales Growth

8.2%

Previous: 7.2%+13.9%
Adjusted EBITDA

$93.9M

Previous: $62.2M+51.0%
New Clubs Opened

29

Previous: 24+20.8%
Total Members

16.6M

Previous: 15.0M+10.7%
Capital Expenditures

-$65.1M

Previous: -$31.8M-104.9%
Free Cash Flow

-$38.2M

Previous: -$14.3M-166.4%
Net Income

$26.9M

Previous: $17.4M+54.3%
Operating Income

$61.9M

Previous: $44.5M+39.0%
Gross Profit

$196M

Previous: $127M+54.0%
Cash & Equivalents

$404M

Previous: $527M-23.3%
Total Assets

$2.85B

Previous: $1.95B+46.0%

Revenue & EPS history

Planet Fitness · Revenue · Quarterly

$244M

Q3 2022+58.4%vs Q3 2021
Beat estimate in 12 of 15 quarters(80%)
ActualEstimate

Revenue by segment

Planet Fitness · $244M total across 3 segments · Q3 2022

  • Corporate-Owned Clubs
    $101M+130.8%
  • Franchise Segment
    $80.7M+7.0%
  • Equipment Segment
    $62.3M+78.0%

Forward guidance

For the year ending December 31, 2022, the Company is reiterating and updating the following expectations, which includes the impact from the Sunshine Acquisition and assumes there is no significant worsening of the COVID-19 pandemic that seriously impacts performance, including prolonged store closures or other mandated operational restrictions

Tailwinds

  • Revenue to increase in the high-50 percent range
  • Adjusted EBITDA to increase approximately 60 percent
  • Adjusted net income to increase in the low-100 percent range
  • Adjusted earnings per share to increase in the mid-90 percent range, based on Adjusted diluted shares outstanding of approximately 90.5 million, inclusive of the issuance of equity as part of the Sunshine Acquisition and share repurchases through the third quarter.
  • Continue to expect system-wide same store sales growth in the low double-digit percentage range.

Headwinds

  • New equipment placements of approximately 150 to 160 in franchisee-owned locations reflecting a worsening of the HVAC supply chain issue
  • Assumes there is no significant worsening of the COVID-19 pandemic that seriously impacts performance
  • Assumes no prolonged store closures
  • Assumes no other mandated operational restrictions
  • Net interest expense to be approximately $86 million

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2022

Historical avgQ3 2022

+1.6%

Avg return

Earnings day

+2.5%

Avg return

5 days after

+3.4%

Avg return

30 days after

56%

24 / 43 earnings

Positive

+18.0%

Q3 2018

Best reaction

-32.5%

Q1 2026

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-32.5%-22.7%-20.8%
Q4 2025-7.6%-9.5%-16.9%
Q3 2025+12.6%+15.4%+21.1%
Q1 2025-4.7%-7.8%+3.8%
Q4 2024-9.2%-6.7%-0.1%
Q3 2024+12.6%+11.9%+18.0%
Q2 2024+5.2%+9.8%+13.5%
Q1 2024+5.0%+6.4%+10.1%
Q4 2023-3.3%-3.6%-9.0%
Q3 2023+11.6%+16.3%+23.3%
Q2 2023-7.2%-7.2%-6.9%
Q1 2023-14.7%-13.8%-21.9%
Q4 2022+1.9%+2.5%-5.9%
Q3 2022+11.3%+15.5%+24.4%
Q2 2022-4.9%-5.4%-13.9%
Q1 2022+1.5%+5.2%+2.1%
Q4 2021-4.0%-4.8%-4.6%
Q3 2021+15.9%+14.4%-2.4%
Q2 2021-0.7%-0.7%+1.9%
Q1 2021-5.2%-5.2%-7.4%
Q4 2020-0.3%+6.7%-0.5%
Q3 2020+1.1%+9.9%+13.0%
Q2 2020-1.5%+0.4%+20.7%
Q1 2020+5.2%+4.8%+28.0%
Q4 2019-10.1%-19.9%-37.8%
Q3 2019+11.2%+13.8%+21.0%
Q2 2019-3.3%-1.3%-12.8%
Q1 2019-3.6%-1.6%+1.4%
Q4 2018+3.1%+7.8%+19.9%
Q3 2018+18.0%+16.8%+19.4%
Q2 2018+7.6%+9.1%+4.3%
Q1 2018-6.7%-2.3%+3.3%
Q4 2017+9.2%+9.7%+12.0%
Q3 2017+12.1%+12.4%+20.5%
Q2 2017+8.3%+4.6%+7.3%
Q1 2017-1.3%+0.6%+6.1%
Q4 2016-1.6%-1.6%-10.4%
Q3 2016+9.6%+8.3%+10.4%
Q2 2016+10.9%+9.7%-0.3%
Q1 2016+3.6%
Q4 2015+6.1%
Q3 2015+6.2%
Q2 2015+2.0%
Q4 2014
Q3 2014
Q2 2014
Q1 2014

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