Here are 1-2 brief analogies for Planet Fitness (PLNT):

• Planet Fitness is like the Walmart of gyms.
• Planet Fitness is like the McDonald's of gyms.

• Basic Gym Memberships: Provides access to fitness equipment and facilities at a single Planet Fitness location.
• Black Card Memberships: A premium membership offering additional benefits such as guest privileges, access to all Planet Fitness locations, and amenities like hydromassage and tanning.
• Franchise Opportunities: Business agreements allowing individuals or entities to own and operate Planet Fitness clubs, benefiting from the brand, operational model, and ongoing support.

Planet Fitness (symbol: PLNT) primarily sells memberships and services directly to **individuals**.

The company serves the following categories of customers:

1. New or Returning Exercisers / Beginners: This category includes individuals who are new to fitness, those returning to exercise after a long break, or people who find traditional gyms intimidating. They are drawn to Planet Fitness's "Judgment Free Zone" atmosphere, basic equipment, and non-intimidating environment, which makes starting or resuming a fitness routine more comfortable.

2. Budget-Conscious Consumers: Planet Fitness is well-known for its highly affordable membership options, particularly the $10/month classic membership. This attracts individuals who prioritize cost-effectiveness and are looking for a low-priced way to maintain their fitness, including students, lower-income individuals, and anyone mindful of their spending.

3. Casual & Convenience-Focused Members: These customers seek a straightforward, no-frills gym experience. They value the convenience of Planet Fitness's numerous locations, often long operating hours (many 24/7), and the provision of fundamental cardio and strength equipment. They are not typically looking for specialized classes, heavy weightlifting areas, or advanced amenities, but rather an accessible and easy-to-use facility for basic workouts.

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Colleen Keating, Chief Executive Officer

Colleen Keating joined Planet Fitness in 2024 as the Chief Executive Officer. She brings over 30 years of leadership experience spanning hospitality, real estate, operations, and franchise management. Most recently, Ms. Keating served as Chief Executive Officer of FirstKey Homes, where she was responsible for the strategic direction, operational efficiency, and scalable growth of the business. Prior to that, she was the Chief Operating Officer of the Americas at InterContinental Hotels Group (IHG). She also held several leadership positions at Starwood Hotels & Resorts Worldwide, Inc., including Senior Vice President of Franchise Operations and Compliance, North America, and Senior Vice President of Operations, North Region.

Jay Stasz, Chief Financial Officer

Jay Stasz was appointed Chief Financial Officer of Planet Fitness, effective November 15, 2024, joining the company on November 4, 2024. Mr. Stasz is an accomplished finance executive with more than 25 years of experience in diverse retail and consumer-facing businesses. He most recently served as Chief Financial Officer at Savers Value Village from 2022 to 2024, where he played a critical role in the company's successful IPO in 2023. Before Savers, he was the CFO at Ollie's Bargain Outlet for seven years (CFO from 2018-2022), during which the company more than doubled its revenue. Earlier in his career, Mr. Stasz held various finance roles of increasing responsibility at Sports Authority from 1998 to 2015.

William (Bill) Bode, Chief Operating Officer

Effective March 3, 2025, Bill Bode will transition into the newly created role of Chief Operating Officer, overseeing franchise and corporate club operations. Mr. Bode has been with Planet Fitness for eight years, previously serving as division president of the U.S. franchise.

Paul Barber, Chief Information Officer

Paul Barber joined Planet Fitness in October 2022 as the Company's Chief Information Officer. In this role, he leads the Company's technology evolution and strategy. Mr. Barber has over 20 years of leadership experience across various industries, including serving as the Senior Vice President of Information Technology at United Natural Foods Inc. He was also the Chief Technology Officer at Airline Report Corporation and helped lead the technology team that rolled out mobile ordering across 9,000 locations while at Dunkin' Brands.

Jamie Medeiros, Chief Brand Officer

Jamie Medeiros was promoted to Chief Brand Officer in August 2022. A 22-year veteran of Planet Fitness, Ms. Medeiros leads the brand strategy and works collaboratively across the organization and with agencies to implement the brand vision through national and local marketing strategies, creative content, brand marketing sponsorships and activations, and social media. She began her career with Planet Fitness in 2000, working at the front desk of the company's third location before moving to the corporate marketing team.

The public company Planet Fitness (PLNT) faces several key risks inherent to the fitness industry and its business model. The most significant risks include intense competition and evolving consumer preferences, vulnerability to economic downturns and member attrition, and challenges associated with its franchise operating model.

1. Intense Competition and Evolving Consumer Preferences

The fitness industry is highly competitive, characterized by numerous players ranging from traditional gyms to boutique studios and at-home fitness options. Planet Fitness must continually innovate and differentiate itself to maintain its market share and attract new members. The rise of digital fitness solutions and changing consumer demands for specialized training programs or more comprehensive fitness experiences could deter potential customers from Planet Fitness's more limited service offerings. Failure to adapt to these evolving preferences, especially among younger demographics, could lead to a loss of market share.

2. Vulnerability to Economic Downturns and Member Attrition

Gym memberships are often considered discretionary spending. During periods of economic uncertainty, recessions, or high inflation, consumers are likely to reduce such expenses, leading to decreased membership sign-ups and higher cancellation rates for Planet Fitness. The company's significant reliance on membership fees as a primary revenue stream makes it particularly vulnerable to these economic fluctuations. Additionally, factors like the new "click-to-cancel" feature and planned price increases for Black Card memberships in 2026 could lead to elevated member churn if rejoining rates decline or if members perceive a lack of value. Inconsistent service quality and unresolved billing disputes have also been cited as behavioral risks that could impact member retention.

3. Risks Associated with the Franchise Model

Planet Fitness operates predominantly on a franchise model, with a vast majority of its clubs owned and operated by franchisees. While this model facilitates rapid expansion, it also introduces risks such as potential inconsistencies in service quality and customer experience across different locations. The company's financial results are significantly dependent on the operational and financial performance of its franchisees. Franchisees may face rising costs related to club construction and maintenance due to inflation and supply chain disruptions, which could adversely affect the attractiveness of the franchise model and, in turn, Planet Fitness's overall business and financial condition.

Planet Fitness (PLNT) primarily offers gym memberships, providing access to a variety of cardio and strength equipment, functional training areas, and amenities such as locker rooms and showers. They also offer a PF Black Card Spa® for premium members, which includes access to massage chairs, tanning beds, and hydro-massage lounges. Their addressable market falls under the broader health and fitness club or gym industry.

Addressable Market Sizes:

Global:

The global health and fitness club market was valued at approximately $98.14 billion in 2023 and is projected to reach $172.95 billion by 2028. Another estimate indicates the global health and fitness club market size was valued at $104.05 billion in 2022 and is projected to grow to $202.78 billion by 2030.

U.S.:

The U.S. fitness and gym industry revenues are estimated to be around $45–46 billion in 2025. North America, which includes the U.S., saw its health and fitness club market grow from USD 25.69 billion in 2021 to USD 44.32 billion in 2022.

Planet Fitness (PLNT) is expected to drive future revenue growth over the next two to three years through several key strategies:

1. New Club Openings: Planet Fitness plans to continue its aggressive expansion by opening a significant number of new clubs. The company anticipates opening between 160 and 170 new clubs in 2025, which includes both franchise and corporate locations. This consistent increase in its physical footprint is a direct contributor to overall revenue growth.
2. Same Club Sales Growth driven by Membership and Price Increases: The company projects system-wide same club sales growth, with an outlook of approximately 6.5% for the full year 2025, an increase from earlier projections. This growth is primarily fueled by both an increase in net membership and strategic price adjustments, particularly increases in average monthly dues and price hikes for Classic memberships, with potential for future Black Card price increases.
3. Increased Black Card Membership Penetration: A focus on growing the penetration of its Black Card membership is another key driver. Black Card members typically pay a higher monthly fee for additional amenities, and an increase in this segment directly enhances revenue per member. Black Card penetration reached 66.1% at the end of Q3 2025.
4. Equipment Sales to Franchisees: Revenue from the equipment segment, which includes the sale of fitness equipment to franchisee-owned clubs, is a notable growth area. This segment experienced a significant 27.8% rise in Q3 2025, driven by higher sales of both new and replacement equipment as new clubs are established and existing ones undergo reequipping.
5. Enhanced Marketing Initiatives: Planet Fitness is implementing strategic marketing initiatives to accelerate membership growth and strengthen brand recognition. This includes a decision to redirect some franchisee contributions from the Local Ad Fund to the National Ad Fund in 2026, aiming to bolster national marketing efforts and attract new members.

Share Repurchases

• Planet Fitness returned $300 million to shareholders through share repurchases over the course of 2024.
• The company returned $125 million to shareholders through share repurchases in 2023.
• A new $500 million share repurchase program was authorized on June 13, 2024, to replace the existing 2022 program upon completion of a $280 million accelerated share repurchase agreement.

Share Issuance

• Proceeds from the issuance of Class A common stock were $17.221 million for the nine months ended September 30, 2024, and $8.575 million for the nine months ended September 30, 2023.

Capital Expenditures

• Capital expenditures peaked at $155.1 million in 2024, increasing from $136 million in 2023 and $100.1 million in 2022.
• For 2024, capital expenditures were projected to increase approximately 25% (initially) and later revised to 20%, primarily driven by additional stores in the corporate-owned portfolio.
• The "New Growth Model" implemented in 2023 aims to reduce capital requirements for opening and operating new Planet Fitness franchise locations.