Planet Fitness, Inc. Q4 FY2025 earnings call

• Redefining brand promise: Focus on next gen fitness enthusiasts, 2025 High School Summer Pass had success, We Are All Strong on This Planet campaign extended into 2026, CMO making progress in scaling marketing capabilities. - Member experience and format optimization: Elevating via data-driven approach, mobile app top download in health/fitness, piloting AI-driven tools for in-club trainers, positive feedback on Black Card amenities test. - Accelerating new club growth: Opened 104 clubs in Q4 2025, navigating competitive real estate market, international expansion with focus on existing markets and entering new ones, CDO strengthening leadership team. - Third-party recognition: Named one of USA Today’s Best Customer Service Companies for 2026.

For the fourth quarter, total revenue was $376,300,000 compared to $340,500,000. Revenue growth across all three segments: franchise segment +9.6%, corporate-owned club segment +7.4%, equipment segment +15.3%. System-wide same club sales grew 5.7% in Q4. Black Card penetration was 66.5% at end of Q4, an all-time high. Full year 2025: same club sales grew 6.7%, revenue increased 12%, adjusted EBITDA 13%, adjusted diluted EPS 19%. Opened 181 new clubs and added 1,100,000 net new members.

• 2026 system-wide same club sales growth expected 4% - 5%. - Expect to open 180 - 190 new clubs system-wide, openings weighted to second half. - Re-equipment sales to represent approx 70% of total segment revenue, equipment margin rate approx 30%. - Total revenue growth expected 9% over 2025. - Adjusted EBITDA to grow approx 10% over 2025. - Adjusted net income growth in 4% - 5% range, adjusted diluted EPS increase between 9% - 10%. - Anticipate 2026 net interest expense of approx $114,000,000. - Capital expenditures up 10% - 15%, D&A up approx 10%.

• Real estate market remains competitive which could impact new club growth. - Transitory items like storms and cold weather in late January impacting join trends and slightly higher cancel rate. - Impact of extended replacement cycle for equipment and sale of corporate-owned clubs affecting growth in 2026.

Q: Randy Konik asks about 2026 guide and perspective on two out years in terms of revenue growth, unit expansion and EBITDA dollar growth, and follow-up on January.

A: Jay Stasz says 2026 is lowest growth year in three-year algo due to re-equip cycle and sale of California clubs, impacts on top line and EBITDA, join trends impacted by weather and cancel rate, now normalized.

Q: Simeon Siegel asks about Black Card penetration and price vs member growth embedded in revenues, and significance of challenging weather January.

A: Jay Stasz says join standpoint historically 60% in first quarter, recent years higher, Black Card penetration at record 66.5% in Q4, benefits rate, guide expects 75/25 split. Colleen Keating says successfully running promotions and delivering net member growth outside Q1, strong join trends coming through January prior to storm impact.

Q: Max Rakhlenko asks about lower EBITDA and EPS guide for 2026, shape of the year, margins progression, and latest thinking on Black Card price increase.

A: Jay Stasz says comp guide 4% - 5% with lower comps in first half and higher in back half, equipment revenue back-loaded, ex-NAF margin leverage, including NAF margins consistent. Colleen Keating says Black Card price increase rolled out after peak join season, embedded in guide, directional comp assumes 75% from rate and 25% from volume.

Q: Joe Altobello asks about attrition rates and interest expense.

A: Jay Stasz says attrition back in line in February, within historical norms, interest expense increase due to coupon change.

Q: Christopher O’Cull asks about 4% - 5% comp guide, conservatism or higher cancellation rate, and Ro partnership.

A: Jay Stasz says new stores enter comp base after thirteenth month, higher attrition post national click-to-cancel rollout. Colleen Keating says openings back-end loaded in 2025, Black Card price lift modeled, Ro partnership early click-through and conversion high.

Q: Rahul Krotthapalli asks about comps waterfall and member join waterfall for clubs, and tailwinds if rest of industry adopts click to cancel.

A: Jay Stasz says new club comps in years, Colleen Keating says click to cancel right for member experience, de-risking, lift in digital conversions.

Q: Jonathan Komp asks about join trends and EBITDA.

A: Colleen Keating says strong join trends late 2025 into early 2026, confident in member growth, Jay Stasz says 2026 is lowest growth year in three-year algo, strategic imperatives supporting joins and retention.

Q: Sharon Zackfia asks about increase to NAF and use of $1 down.

A: Colleen Keating says 1% shift from LAF to NAF impacts in Q2 - Q4, funds capabilities like dynamic content optimization, use balanced approach with offers.

Q: Jean Tzu asks about mid-30% rejoin rate and early reads on GLP-1 members.

A: Colleen Keating says testing rejoin offers, rising rejoin rate, GLP-1 users well positioned at Planet Fitness, early Ro partnership metrics high.

Q: Stephen Grambling asks about cash and CapEx, and selling additional corporate-owned clubs.

A: Jay Stasz says CapEx growth range reasonable, evaluate corporate-owned clubs case-by-case, Colleen Keating says engaged banker for Spain, California sale was geographic efficiency move.