Planet Fitness, Hampton, New Hampshire, reported fourth quarter revenue of $191.5 million, a 9.8 percent increase from the same period last year, according to financials released by the company on Feb. 25. This contributed to a 20.2 percent increase in total 2019 revenue to $688.8 million.
The company reported its same-store sales increased 8.6 percent during the quarter and 8.8 percent for the year. In total, Planet Fitness added 261 locations in 2019, 102 of which opened in the fourth quarter. As of Dec. 31, 2019, the company claimed 2,001 clubs globally.
The fourth quarter of 2019 marks 52 consecutive quarters of positive system-wide same-store sales growth for Planet Fitness.
"2019 was filled with many important milestones and financial achievements," Planet Fitness CEO Chris Rondeau said in the earnings report. “Our ability to attract casual, first-time gym users to our welcoming, non-intimidating fitness concept, combined with higher black card pricing, fueled an 8.8 percent improvement in system-wide same store sales on top of a 10.2 percent increase in 2018. ... We begin 2020 with great momentum in our business, a long runway for growth, and an experienced group of franchisees eager to capitalize on the many opportunities that still lie ahead."
Quarterly franchise segment revenue grew 29.6 percent to $73.3 million, corporate segment revenue increased 13.7 percent to $41.2 million and equipment segment revenue decreased 5.6 percent to $77 million due to fewer replacement equipment sales to existing franchisee clubs.
For the fiscal year, the same categories experienced increases of 23.8 percent to $277.6 million, 15.2 percent to $159.7 million and 19.7 percent to $251.5 million, respectively.
Quarterly adjusted EBITDA also increased 23 percent to $76.6 million.
For the fiscal year of 2020, Planet Fitness is targeting revenue growth of 12 percent and system-wide same store sales growth of 8 percent.
Planet Fitness recently ranked No. 6 on Club Industry’s Top 100 Health Clubs of 2019 list with $572.9 million in 2018 revenue from corporate-owned locations and franchisee fees but not individual franchisee revenue.