Planet Fitness Inc (PLNT)

Receivables turnover

Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022 Dec 31, 2021 Sep 30, 2021 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020
Revenue (ttm) US$ in thousands 1,160,425 1,082,185 1,045,786 1,009,840 986,001 984,910 952,853 891,685 852,544 755,272 666,937 580,823 510,272 479,125 428,591 330,645 346,043 403,782 472,257 622,556
Receivables US$ in thousands 96,537 56,840 56,724 37,674 56,276 50,699 60,614 30,009 66,688 53,375 47,219 36,177 44,449 25,550 32,306 25,268 38,662 42,448 36,552 31,051
Receivables turnover 12.02 19.04 18.44 26.80 17.52 19.43 15.72 29.71 12.78 14.15 14.12 16.06 11.48 18.75 13.27 13.09 8.95 9.51 12.92 20.05

December 31, 2024 calculation

Receivables turnover = Revenue (ttm) ÷ Receivables
= $1,160,425K ÷ $96,537K
= 12.02

Planet Fitness Inc's receivables turnover ratio has shown fluctuations over the years, indicating changes in the efficiency of the company in collecting receivables from its customers.

From March 31, 2020, to December 31, 2021, the receivables turnover ratio decreased steadily from 20.05 to 8.95 before showing an improvement in March 31, 2021, at 13.09. In the following quarters, the ratio remained relatively stable, with figures ranging from 11.48 to 16.06, indicating a moderate level of efficiency in collecting receivables.

However, significant changes were observed in the subsequent periods. The receivables turnover ratio peaked at 29.71 on March 31, 2023, reflecting a substantial improvement in the company's collection efficiency. Despite the subsequent decline in the ratio in the following quarters, the figures remained relatively high compared to the earlier periods, indicating that Planet Fitness Inc was able to maintain a good level of efficiency in managing its receivables.

Overall, the trend in the receivables turnover ratio suggests that Planet Fitness Inc has experienced fluctuations in its ability to collect receivables efficiently, with periods of both improvement and decline. Monitoring this ratio can provide valuable insights into the company's operations and financial health.