Planet Fitness (NYSE:PLNT) raised its 2026 revenue and same-club sales outlook after reporting third-quarter growth, while outlining plans for regional Black Card price increases and a potential sale of some company-owned gyms.
The fitness chain reported systemwide same-club sales growth of 1.5% for the quarter, ahead of management’s expectations. Revenue rose 9% from a year earlier to $360 million, and adjusted earnings before interest, taxes, depreciation and amortization increased 3.9% to $146.2 million.
Planet Fitness ended the quarter with approximately 21.5 million members, unchanged from the end of the second quarter and up about 4% year over year. Average monthly member attrition was 3.6%, which CEO Colleen Keating said was broadly consistent with historical levels and recent trends.
Profitability and Outlook
Adjusted net income fell to $61.9 million from $67 million, reflecting higher depreciation and amortization and interest expenses, CFO and President of International Sudhanshu Priyadarshi said. Adjusted earnings per share nevertheless rose to $0.83 from $0.80, helped by a lower share count following stock repurchases.
Adjusted EBITDA margin declined to 40.6% from 42.6% a year earlier, primarily because of a temporary increase in national advertising fund contributions, Priyadarshi said. Those contributions rose to 3% from 2% for 2026 and are set to return to 2% in 2027.
For the full year, the company now expects systemwide same-club sales growth of approximately 1.5% to 2%, up from its prior forecast of about 1%. It raised its revenue growth outlook to approximately 8% from 7% and its adjusted EBITDA growth forecast to approximately 6.5% from 6%.
Planet Fitness also expects adjusted net income to decrease approximately 3% for the year, while adjusted earnings per diluted share are projected to grow approximately 6%.
Pricing Tests Inform 2027 Strategy
Keating said the company plans highly targeted regional Black Card price increases in the second quarter of 2027. Pricing tests, including a two-week $10 Classic Card promotion in September, showed different levels of price sensitivity across markets.
The promotion increased sign-ups, but a $10 price did not prove beneficial to average unit volume across the entire system, Keating said. Planet Fitness does not plan a nationwide rollback of Classic Card pricing to $10; Priyadarshi said the standard price will remain $15, though some markets could use short promotions.
Black Card members accounted for approximately 68% of memberships in the third quarter, up 1.6 percentage points from a year earlier. The company is also expanding recovery offerings in its Black Card Spa and expects approximately 500 clubs to offer Red Light Saunas by the end of 2026.
Keating said Planet Fitness is focusing retention efforts on members’ first 100 days, when churn is statistically higher than among longer-tenured members. The strategy includes in-club guidance, personalized app communications and refreshed small-group fitness classes, with a broader class rollout planned for the first quarter of 2027.
Portugal Acquisition and Club Development
Planet Fitness acquired Portuguese fitness chain Be-Fit, adding 25 clubs and approximately 80,000 members. The purchase price was approximately 102.5 million euros, including up to 2.5 million euros in contingent cash consideration, and was funded with cash on hand, Priyadarshi said.
The acquisition is expected to add to earnings in 2027. Management plans to convert the clubs to the Planet Fitness brand and eventually refranchise them. Priyadarshi said the company sees potential to double its footprint across Spain and Portugal over the next three to five years.
Including the Portugal acquisition, Planet Fitness raised its full-year new-club outlook to approximately 190 to 195 from 180 to 190. It lowered its forecast for new equipment placements at franchisee-owned locations to 135 to 140 from 150 to 160.
Priyadarshi said the reduction in expected franchise openings was largely related to timing and a tight real estate market, with some openings shifting into next year. Excluding Portugal, he expects a similar level of unit growth in 2027, though the company plans to provide formal guidance in February.
Buybacks and Corporate Club Review
The board approved a new share repurchase program of up to $500 million, replacing the existing authorization. Planet Fitness repurchased $50 million of shares during the third quarter and $300 million in the first nine months of the year.
The company has also begun a strategic review of its domestic corporate-owned clubs and plans to sell a portion to new or existing franchisees. Discussions with multiple interested parties are underway, Priyadarshi said.
Corporate clubs represent approximately 10% of the system. Priyadarshi said the company wants to retain some locations to test ideas and stay close to members, but has no set target for how many it will keep. The 2026 outlook excludes any impact from potential club sales.
About Planet Fitness (NYSE:PLNT)
Planet Fitness, Inc (NYSE: PLNT) is a franchised fitness-center company that operates under the Planet Fitness brand. The company follows a “high-value, low-price” model designed to make gym memberships accessible to a broad range of consumers. Its clubs offer cardiovascular and strength-training equipment, group and individual exercise areas, and a welcoming environment known as the “Judgement Free Zone.”
Planet Fitness generates revenue primarily through membership dues, franchise royalties and fees, and sales of merchandise and other services.
