PLNT - Planet Fitness gains after bounce-back quarter that topped estimates

Planet Fitness ( NYSE: PLNT ) traded higher during the premarket session on Tuesday after reporting that members trends remained strong in the quarter with joins back to historical pre-pandemic seasonality and cancellations lower compared to 2019.

Total revenue was up 58.4% year-over-year to $244.39M. System-wide same store sales increased 8.2%. Franchise segment revenue increased 7.1% to $80.7M. Corporate-owned stores segment revenue rose 130.8% to $101.3M. Equipment segment revenue increased 78.2% to $62.3M.

Adjusted EBITDA shot up 52% year-over-year to $93.9M.

Planet Fitness stores opened 20 new stores during the quarter to bring its system-wide total stores to 2,353.

On the capital allocation front, PLNT authorized a $500M share buyback program.

Looking ahead, PLNT said it is focused on efforts to continue to increase penetration of all generations with a strong emphasis on the Gen Z demographic by converting teen participants from our recent High School Summer Pass Program, and their parents and guardians, to paying members. Planet Fitness ( PLNT ) sees revenue increasing in the high-50% range and adjusted EBITDA to increase approximately 60%, EPS is seen increasing in the mid-90% range.

Shares of Planet Fitness ( PLNT ) showed a 2.05% gain in premarket action following the earnings topper.

For further details see: