Planet Fitness Inc (PLNT)
Net profit margin
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 138,314 | 136,657 | 124,436 | 105,643 | 99,402 | 71,459 | 61,989 | 53,657 | 42,774 | 45,724 | 25,170 | -18,017 | -14,991 | 5,984 | 34,872 | 98,893 | 117,695 | 112,826 | 104,520 | 95,550 |
| Revenue (ttm) | US$ in thousands | 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 | 649,563 | 632,412 | 600,132 | 572,191 |
| Net profit margin | 14.03% | 13.88% | 13.06% | 11.85% | 11.66% | 9.46% | 9.29% | 9.24% | 8.38% | 9.54% | 5.87% | -5.45% | -4.33% | 1.48% | 7.38% | 15.88% | 18.12% | 17.84% | 17.42% | 16.70% |
December 31, 2023 calculation
Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $138,314K ÷ $986,001K
= 14.03%
In analyzing Planet Fitness Inc's net profit margin over the past eight quarters, we observe a steady increase in profitability. The net profit margin, which represents the percentage of revenue remaining after all expenses have been deducted, has shown consistent improvement.
Starting at 8.11% in Q1 2022, the net profit margin has gradually risen to 12.91% in Q4 2023. This upward trend indicates a positive trajectory in the company's ability to generate profits from its operations.
The company has demonstrated efficiency in managing its costs and expenses relative to its revenue, resulting in an increasing margin of profitability over time. This indicates effective cost control measures and operational optimization, which have contributed to the overall financial health and performance of Planet Fitness Inc.
Overall, the improving net profit margin trend suggests that Planet Fitness Inc has been successful in translating its revenue into profits, enhancing its financial sustainability and potentially providing a positive outlook for investors and stakeholders.