May 7th, 2026

Mixed. The company delivered strong top-line growth (22% revenue increase), materially improved adjusted EBITDA (~20% YoY), significant equipment revenue upside (+123%), a healthy cash position and executed share repurchases. However, a meaningful shortfall in net member growth during the critical Q1 join period, elevated churn, a marketing misstep that missed the company’s core beginner demographic, regional competitive pressure, the decision to pause a Black Card price increase (reducing same-club sales outlook by ~150 bps), and the withdrawal of the multi-year algorithm tempered the upbeat financial results and led to a lowered 2026 outlook. Management has concrete corrective actions underway (creative agency change, data/AI investments, targeted marketing tests) but recovery in membership momentum is expected to take time.

Company Guidance

Planet Fitness updated its 2026 outlook, now forecasting system‑wide same‑club sales growth of approximately 1%, revenue growth of ~7% and adjusted EBITDA growth of ~6%, while expecting net interest expense of about $111 million; adjusted net income is expected to decrease ~2% but adjusted net income per diluted share to grow ~4% on roughly 79 million adjusted diluted weighted average shares outstanding. Management said the pause of the planned national Black Card price increase accounts for roughly 150 basis points of the same‑club sales revision and that the guidance change is also driven by a Q1 net‑member growth shortfall (~700k net adds in Q1) and elevated churn earlier in the year. Unit growth guidance is unchanged at 180–190 new clubs system‑wide with roughly 150–160 equipment placements; they expect re‑equip sales to be ~70% of equipment revenue with an equipment margin of ~30%, replacement equipment revenue split ~30% in Q2, ~30% in Q3 and ~15% in Q4, and capital expenditures and depreciation & amortization to be up roughly 10–15% and ~10%, respectively; the company also withdrew its prior 3‑year algorithm.