PLANET FITNESS, INC., 10-Q filed on 5/10/2022
Quarterly Report
v3.22.1
Cover Page - shares
 3 Months Ended
Mar. 31, 2022
May 01, 2022
Document Information [Line Items]    
Document Type 10-Q  
Document Quarterly Report true  
Document Period End Date Mar. 31, 2022  
Document Transition Report false  
Entity File Number 001-37534  
Entity Registrant Name PLANET FITNESS, INC.  
Entity Incorporation, State or Country Code DE  
Entity Tax Identification Number 38-3942097  
Entity Address, Address Line One 4 Liberty Lane West  
Entity Address, City or Town Hampton  
Entity Address, State or Province NH  
Entity Address, Postal Zip Code 03842  
City Area Code 603  
Local Phone Number 750-0001  
Title of 12(b) Security Class A common stock, $0.0001 Par Value  
Trading Symbol PLNT  
Security Exchange Name NYSE  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Filer Category Large Accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Shell Company false  
Amendment Flag false  
Document Fiscal Year Focus 2022  
Document Fiscal Period Focus Q1  
Entity Central Index Key 0001637207  
Current Fiscal Year End Date --12-31  
Class A Common Stock    
Document Information [Line Items]    
Entity Common Stock, Shares Outstanding   84,925,763
Class B Common Stock    
Document Information [Line Items]    
Entity Common Stock, Shares Outstanding   6,145,722
v3.22.1
Condensed consolidated balance sheets - USD ($)
$ in Thousands
Mar. 31, 2022
Dec. 31, 2021
Current assets:    
Cash and cash equivalents $ 471,176 $ 545,909
Restricted cash 65,492 58,032
Accounts receivable, net of allowance for bad debts of $0 and $0 as of March 31, 2022 and December 31, 2021, respectively 12,886 27,257
Inventory 1,745 1,155
Restricted assets – national advertising fund 22,569 0
Prepaid expenses 18,476 12,869
Other receivables 19,622 13,519
Income tax receivables 3,669 3,673
Total current assets 615,635 662,414
Property and equipment, net of accumulated depreciation of $169,432 and $152,296 as of March 31, 2022 and December 31, 2021, respectively 332,935 173,687
Investments, net of allowance for expected credit losses of $15,352 and $17,462 as of March 31, 2022 and December 31, 2021, respectively 21,083 18,760
Right-of-use assets, net 353,536 190,330
Intangible assets, net 475,419 200,937
Goodwill 696,299 228,569
Deferred income taxes 493,834 539,264
Other assets, net 3,661 2,022
Total assets 2,992,402 2,015,983
Current liabilities:    
Current maturities of long-term debt 20,750 17,500
Borrowings under Variable Funding Notes 75,000 0
Accounts payable 24,147 27,892
Accrued expenses 63,784 51,714
Equipment deposits 12,966 6,036
Deferred revenue, current 64,178 28,351
Payable pursuant to tax benefit arrangements, current 20,302 20,302
Other current liabilities 44,876 24,815
Total current liabilities 326,003 176,610
Long-term debt, net of current maturities 1,989,533 1,665,273
Borrowings under Variable Funding Notes 0 75,000
Lease liabilities, net of current portion 346,695 197,682
Deferred revenue, net of current portion 32,607 33,428
Deferred tax liabilities 910 0
Payable pursuant to tax benefit arrangements, net of current portion 504,016 507,805
Other liabilities 3,576 3,030
Total noncurrent liabilities 2,877,337 2,482,218
Commitments and contingencies (Note 13)
Stockholders’ equity (deficit):    
Accumulated other comprehensive income 97 12
Additional paid in capital 479,535 63,428
Accumulated deficit (692,340) (708,804)
Total stockholders’ deficit attributable to Planet Fitness Inc. (212,699) (645,355)
Non-controlling interests 1,761 2,510
Total stockholders’ deficit (210,938) (642,845)
Total liabilities and stockholders’ deficit 2,992,402 2,015,983
Class A Common Stock    
Stockholders’ equity (deficit):    
Common stock 8 8
Class B Common Stock    
Stockholders’ equity (deficit):    
Common stock $ 1 $ 1
v3.22.1
Condensed consolidated balance sheets (Parenthetical) - USD ($)
$ in Thousands
Mar. 31, 2022
Dec. 31, 2021
Current assets:    
Accounts receivable, allowance for bad debts $ 0 $ 0
Accumulated depreciation 169,432 152,296
Allowance for expected credit loss $ 15,352 $ 17,462
Class A Common Stock    
Stockholders’ equity (deficit):    
Common stock, par value (in usd per share) $ 0.0001 $ 0.0001
Common stock, shares authorized (in shares) 300,000,000 300,000,000
Common stock, shares issued (in shares) 84,907,000 83,804,000
Common stock, shares outstanding (in shares) 84,907,000 83,804,000
Class B Common Stock    
Stockholders’ equity (deficit):    
Common stock, par value (in usd per share) $ 0.0001 $ 0.0001
Common stock, shares authorized (in shares) 100,000,000 100,000,000
Common stock, shares issued (in shares) 6,146,000 3,056,000
Common stock, shares outstanding (in shares) 6,146,000 3,056,000
v3.22.1
Condensed consolidated statements of operations - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2022
Mar. 31, 2021
Revenue:    
Revenue $ 186,676 $ 111,877
Operating costs and expenses:    
Cost of revenue 22,361 7,985
Store operations 47,535 25,907
Selling, general and administrative 30,826 22,490
National advertising fund expense 14,547 12,753
Depreciation and amortization 25,683 15,474
Other (gains) losses, net (2,933) (2,138)
Total operating costs and expenses 138,019 82,471
Income from operations 48,657 29,406
Other expense, net:    
Interest income 209 217
Interest expense (22,631) (20,244)
Other income 4,090 165
Total other expense, net (18,332) (19,862)
Income before income taxes 30,325 9,544
Equity earnings (losses) of unconsolidated entities, net of tax (238) 0
Provision for income taxes 11,711 3,354
Net income 18,376 6,190
Less net income attributable to non-controlling interests 1,912 609
Net income attributable to Planet Fitness, Inc. $ 16,464 $ 5,581
Class A Common Stock    
Net income per share of Class A common stock:    
Basic (in usd per share) $ 0.20 $ 0.07
Diluted (in usd per share) $ 0.19 $ 0.07
Weighted-average shares of Class A common stock outstanding:    
Basic (in shares) 84,166,027 83,084,096
Diluted (in shares) 84,635,183 83,707,214
Franchise    
Revenue:    
Revenue $ 65,614 $ 52,180
Commission income    
Revenue:    
Revenue 503 272
National advertising fund revenue    
Revenue:    
Revenue 13,967 11,609
Corporate-owned stores    
Revenue:    
Revenue 76,157 37,877
Equipment    
Revenue:    
Revenue $ 30,435 $ 9,939
v3.22.1
Condensed consolidated statements of comprehensive income (loss) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2022
Mar. 31, 2021
Statement of Comprehensive Income [Abstract]    
Net income including non-controlling interests $ 18,376 $ 6,190
Other comprehensive income, net:    
Foreign currency translation adjustments 85 11
Total other comprehensive income, net 85 11
Total comprehensive income including non-controlling interests 18,461 6,201
Less: total comprehensive income attributable to non-controlling interests 1,912 609
Total comprehensive income attributable to Planet Fitness, Inc. $ 16,549 $ 5,592
v3.22.1
Condensed consolidated statements of cash flows - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2022
Mar. 31, 2021
Cash flows from operating activities:    
Net income $ 18,376 $ 6,190
Adjustments to reconcile net income to net cash provided by operating activities:    
Depreciation and amortization 25,683 15,474
Amortization of deferred financing costs 1,369 1,571
Amortization of asset retirement obligations 17 (21)
Dividends accrued on investment (451) 0
Deferred tax expense 10,940 2,737
Loss on extinguishment of debt 1,583 0
Equity loss of unconsolidated entities, net of tax 238 0
Gain on adjustment in allowance for expected credit losses (2,110) 0
Gain on re-measurement of tax benefit arrangement (3,788) (348)
Loss on reacquired franchise rights 1,160 0
Equity-based compensation 2,850 1,439
Other (53) 11
Changes in operating assets and liabilities, excluding effects of acquisitions:    
Accounts receivable 14,415 9,428
Inventory (589) 6
Other assets and other current assets (5,522) 3,708
Restricted assets - national advertising fund (22,569) (13,721)
Accounts payable and accrued expenses (7,284) (7,677)
Other liabilities and other current liabilities 1,035 (3,876)
Income taxes 625 295
Equipment deposits 6,869 (621)
Deferred revenue 15,306 8,802
Leases and deferred rent (90) 126
Net cash provided by operating activities 58,010 23,523
Cash flows from investing activities:    
Additions to property and equipment (23,872) (6,359)
Acquisition of franchises, net of cash acquired (425,834) 0
Investments 0 (25,000)
Net cash used in investing activities (449,706) (31,359)
Cash flows from financing activities:    
Principal payments on capital lease obligations (52) (53)
Proceeds from issuance of long-term debt 900,000 0
Proceeds from issuance of Variable Funding Notes 75,000 0
Repayment of long-term debt (634,250) (4,375)
Payment of deferred financing and other debt-related costs (16,191) 0
Proceeds from issuance of Class A common stock 525 344
Distributions to Continuing LLC Members (815) 0
Net cash provided by (used in) financing activities 324,217 (4,084)
Effects of exchange rate changes on cash and cash equivalents 206 53
Net decrease in cash, cash equivalents and restricted cash (67,273) (11,867)
Cash, cash equivalents and restricted cash, beginning of period 603,941 515,800
Cash, cash equivalents and restricted cash, end of period 536,668 503,933
Supplemental cash flow information:    
Net cash paid for income taxes 130 322
Cash paid for interest 16,874 18,794
Non-cash investing activities:    
Non-cash additions to property and equipment 4,470 7,419
Fair value of common stock issued as consideration for acquisition $ 393,730 $ 0
v3.22.1
Condensed consolidated statement of changes in equity (deficit) - USD ($)
shares in Thousands, $ in Thousands
Total
Accumulated other comprehensive income
Additional paid- in capital
Accumulated deficit
Non-controlling interests
Class A common stock
Class A common stock
Common stock
Class B common stock
Class B common stock
Common stock
Beginning balance (in shares) at Dec. 31, 2020             82,821   3,722
Beginning balance at Dec. 31, 2020 $ (705,673) $ 27 $ 45,673 $ (751,578) $ 196   $ 8   $ 1
Increase (Decrease) in Stockholders' Equity [Roll Forward]                  
Net income 6,190     5,581 609        
Equity-based compensation expense 1,439   1,439            
Exchanges of Class B common stock (in shares)             359   (359)
Exchanges of Class B common stock 0   (415)   415        
Exercise of stock options, vesting of restricted share units and ESPP share purchase (in shares)             22    
Exercise of stock options, vesting of restricted share units and ESPP share purchase 414   414            
Tax benefit arrangement liability and deferred taxes arising from exchanges of Class B common stock 1,164   1,164            
Non-cash adjustments to VIEs (223)       (223)        
Other comprehensive income 11 11              
Ending balance (in shares) at Mar. 31, 2021             83,202   3,363
Ending balance at Mar. 31, 2021 (696,678) 38 48,275 (745,997) 997   $ 8   $ 1
Beginning balance (in shares) at Dec. 31, 2021           83,804 83,804 3,056 3,056
Beginning balance at Dec. 31, 2021 (642,845) 12 63,428 (708,804) 2,510   $ 8   $ 1
Increase (Decrease) in Stockholders' Equity [Roll Forward]                  
Net income 18,376     16,464 1,912        
Equity-based compensation expense 2,850   2,850            
Exchanges of Class B common stock (in shares)             548   (548)
Exchanges of Class B common stock 0   (197)   197        
Exercise of stock options, vesting of restricted share units and ESPP share purchase (in shares)             38    
Exercise of stock options, vesting of restricted share units and ESPP share purchase 374   374            
Issuance of common stock for acquisition (in shares)             517   3,638
Issuance of common stock for acquisition 393,730   395,545   (1,815)        
Tax benefit arrangement liability and deferred taxes arising from exchanges of Class B common stock 17,535   17,535            
Non-cash adjustments to VIEs (228)       (228)        
Distributions paid to members of Pla-Fit Holdings (815)       (815)        
Other comprehensive income 85 85              
Ending balance (in shares) at Mar. 31, 2022           84,907 84,907 6,146 6,146
Ending balance at Mar. 31, 2022 $ (210,938) $ 97 $ 479,535 $ (692,340) $ 1,761   $ 8   $ 1
v3.22.1
Business Organization
 3 Months Ended
Mar. 31, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Business Organization Business Organization
Planet Fitness, Inc. (the “Company”), through its subsidiaries, is a franchisor and operator of fitness centers, with more than 16.2 million members and 2,291 owned and franchised locations (referred to as stores) in 50 states, the District of Columbia, Puerto Rico, Canada, Panama, Mexico and Australia as of March 31, 2022.
In March 2020, the Company proactively closed all of its stores system wide in response to COVID-19 in order to promote the health and safety of its members, team members and their communities. As of March 31, 2022, there were no store closures related to COVID-19.
The Company serves as the reporting entity for its various subsidiaries that operate three distinct lines of business:
•Licensing and selling franchises under the Planet Fitness trade name.
•Owning and operating fitness centers under the Planet Fitness trade name.
•Selling fitness-related equipment to franchisee-owned stores.
The Company was formed as a Delaware corporation on March 16, 2015 for the purpose of facilitating an initial public offering (the “IPO”), which was completed on August 11, 2015 and related transactions in order to carry on the business of Pla-Fit Holdings, LLC and its subsidiaries (“Pla-Fit Holdings”). As of August 5, 2015, in connection with the recapitalization transactions that occurred prior to the IPO, the Company became the sole managing member and holder of 100% of the voting power of Pla-Fit Holdings. Pla-Fit Holdings owns 100% of Planet Intermediate, LLC, which has no operations but is the 100% owner of Planet Fitness Holdings, LLC, a franchisor and operator of fitness centers through its subsidiaries. With respect to the Company, Pla-Fit Holdings and Planet Intermediate, LLC, each entity owns nothing other than the respective entity below it in the corporate structure and each entity has no other material operations.
The Company is a holding company whose principal asset is a controlling equity interest in Pla-Fit Holdings. As the sole managing member of Pla-Fit Holdings, the Company operates and controls all of the business and affairs of Pla-Fit Holdings, and through Pla-Fit Holdings, conducts its business. As a result, the Company consolidates Pla-Fit Holdings’ financial results and reports a non-controlling interest related to the portion of limited liability company units of Pla-Fit Holdings (“Holdings Units”) not owned by the Company. Unless otherwise specified, “the Company” refers to both Planet Fitness, Inc. and Pla-Fit Holdings throughout the remainder of these notes.
As of March 31, 2022, Planet Fitness, Inc. held 100.0% of the voting interest and 93.3% of the economic interest of Pla-Fit Holdings and the holders of Holdings Units of Pla-Fit Holdings (the “Continuing LLC Owners”) held the remaining 6.7% economic interest in Pla-Fit Holdings.
v3.22.1
Summary of Significant Accounting Policies
 3 Months Ended
Mar. 31, 2022
Accounting Policies [Abstract]  
Summary of Significant Accounting Policies Summary of Significant Accounting Policies
(a) Basis of presentation and consolidation
The accompanying unaudited interim condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information and pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). Accordingly, these interim financial statements do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring adjustments) necessary for a fair presentation of the results of operations, financial position and cash flows for the periods presented have been reflected. All significant intercompany balances and transactions have been eliminated in consolidation.
The condensed consolidated financial statements as of and for the three months ended March 31, 2022 and 2021 are unaudited. The condensed consolidated balance sheet as of December 31, 2021 has been derived from the audited financial statements at that date but does not include all of the disclosures required by U.S. GAAP. These interim condensed consolidated financial statements should be read in conjunction with the Company’s Annual Report on Form 10-K for the year ended December 31, 2021 (the “Annual Report”) filed with the SEC on March 1, 2021. The Company’s significant interim accounting policies include the proportional recognition of national advertising fund expenses within interim periods. Operating results for the interim periods are not necessarily indicative of the results that may be expected for the full year.
(b) Use of estimates
The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Although these
estimates are based on management’s knowledge of current events and actions it may undertake in the future, they may ultimately differ from actual results. Significant areas where estimates and judgments are relied upon by management in the preparation of the consolidated financial statements include revenue recognition, valuation of equity-based compensation awards, valuation of long-lived and intangible assets acquired in a business combination, the evaluation of the recoverability of goodwill and long-lived assets, including intangible assets, income taxes, including deferred tax assets and liabilities and reserves for unrecognized tax benefits, the liability for the Company’s tax benefit arrangements, and the value of the lease liability and related right-of-use asset recorded in accordance with ASC 842 (see Note 7).
(c) Fair Value
ASC 820, Fair Value Measurements and Disclosures, establishes a three-level valuation hierarchy for disclosure of fair value measurements. The valuation hierarchy is based upon the transparency of inputs to the valuation of an asset or liability as of the measurement date. Categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The three levels are defined as follows:
Level 1—Inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets.
Level 2—Inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument.
Level 3—Inputs to the valuation methodology are unobservable and significant to the fair value measurement.
 
The carrying value and estimated fair value of certain assets and liabilities as of March 31, 2022 and December 31, 2021 were as follows:
March 31, 2022December 31, 2021
Carrying value
Estimated fair value(1)
Carrying value
Estimated fair value(1)
Liabilities
Long-term debt(1)
$2,040,750 $1,943,457 $1,700,000 $1,725,021 
Variable Funding Notes(1)
$75,000 $75,000 $75,000 $75,000 
(1) The Company’s Variable Funding Notes are a variable rate loan and the fair value of this loan approximates book value based on the borrowing rates currently available for variable rate loans obtained from third party lending institutions. The estimated fair value of our fixed rate long-term debt is estimated primarily based on current bid prices for our long-term debt. Judgment is required to develop these estimates. As such, the fair value of our long-term debt is classified within Level 2, as defined under U.S. GAAP.
(d) Recent accounting pronouncements
The FASB issued ASU No. 2021-08, Accounting for Contract Assets and Contract Liabilities from Contracts with Customers, in October, 2021. The guidance improves the accounting for acquired revenue contracts with customers in a business combination by requiring contract assets and contract liabilities acquired in a business combination to be recognized and measured by the acquirer on the acquisition date in accordance with ASC Topic 606, Revenue from Contracts with Customers, as if the acquirer had originated the contracts. This guidance will be effective for fiscal years beginning after December 15, 2022, including interim periods within that year, with early adoption permitted. The Company early adopted this guidance as of January 1, 2022, for all acquisitions subsequent to the adoption date.
v3.22.1
Investments
 3 Months Ended
Mar. 31, 2022
Investments, Debt and Equity Securities [Abstract]  
Investments Investments
Investments - Debt securities
As of March 31, 2022, the Company’s debt security investments consist of redeemable preferred shares that are accounted for as held-to-maturity debt securities. The Company’s investments are measured at amortized cost within Investments in the condensed consolidated balance sheets. The Company reviews its held-to-maturity securities for expected credit losses under ASC Topic 326, Credit Impairment, on an ongoing basis.
During the three months ended March 31, 2022, the Company’s review of the investee’s operations and financial position indicated that an adjustment to its allowance for expected credit losses was necessary. The Company utilized a probability-of-default (“PD”) and loss-given-default (“LGD”) methodology to calculate the allowance for expected credit losses. The Company derived its estimate using historical lifetime loss information for assets with similar risk characteristics, adjusted for management’s expectations. Adjustments for management’s expectations were based on the investees recent financial results, current financial position, and forward-looking financial forecasts. Based upon its analysis, the Company recorded a gain on the adjustment of its allowance for credit losses of $2,110 within other (gains) losses, net on the consolidated statements of operations.
The amortized cost, including accrued dividends, of the Company’s held-to-maturity debt security investments was $26,852 and $26,401 and the allowance for expected credit losses was $15,352 and $17,462, as of March 31, 2022 and December 31, 2021, respectively. During the three months ended March 31, 2022, the Company recognized dividend income of $451 within other income on the consolidated statements of operations.
As of March 31, 2022, all of the Company’s held-to-maturity investments had a contractual maturity in 2026.
A roll forward of the Company’s allowance for expected credit losses on held-to-maturity investments is as follows:
Three months ended March 31, 2022
Beginning allowance for expected credit losses$17,462 
Gain on adjustment in allowance for expected credit losses(2,110)
Write-offs, net of recoveries— 
Ending allowance for expected credit losses$15,352 
Equity method investments
On April 9, 2021, the Company acquired a 21% ownership in Planet Fitness Australia Holdings, the Company’s franchisee and store operator in Australia, which is deemed to be a related party, for $10,000, which is accounted for under the equity method. For the three months ended March 31, 2022, the Company’s proportionate share of the earnings in accordance with the equity method was a loss of $238, recorded within equity earnings of unconsolidated entities on the condensed consolidated statement of operations. The adjusted carrying value of the equity method investment was $9,582 and $9,820 as of March 31, 2022 and December 31, 2021, respectively.
v3.22.1
Acquisitions
 3 Months Ended
Mar. 31, 2022
Business Combination and Asset Acquisition [Abstract]  
Acquisitions Acquisition
Sunshine Fitness Acquisition
On February 10, 2022, the Company and Pla-Fit Holdings (together with the Company, the “Buyers”), acquired 100% of the equity interests (“Sunshine Acquisition”) of Sunshine Fitness Growth Holdings, LLC, a Delaware limited liability company and Planet Fitness franchisee (“Sunshine Fitness”). The Company acquired 114 stores in Alabama, Florida, Georgia, North Carolina, and South Carolina from Sunshine Fitness. The preliminary purchase price of the acquisition was approximately $825,670 consisting of approximately $431,939 in cash consideration and approximately $393,730 of equity consideration, including 517,348 shares of Class A Common Stock, par value $0.0001, of the Company and 3,637,678 membership units of Pla-Fit Holdings, LLC, together with shares of Class B Common Stock, par value $0.0001, of the Company, valued based on the closing trading price of the Company’s Class A common stock on the acquisition date. As a result of the transaction, the Company incurred a loss on unfavorable reacquired franchise rights of $1,160, which has been reflected in other (gains) losses, net in the condensed consolidated statement of operations. The loss reduced the net purchase price to $824,509. In connection with the acquisition, the Company recorded a gain of $2,059 related to the settlement of preexisting contracts with Sunshine Fitness within other (gains) losses, net on the condensed consolidated statement of operations. The acquired stores are included in the corporate-owned stores segment.
The preliminary allocation of the estimated purchase consideration was allocated as follows:
Amount
Cash and cash equivalents$6,105 
Other current assets4,930 
Property and equipment152,548 
Right of use assets165,847 
Other long term assets1,613 
Intangible assets283,000 
Goodwill467,730 
Deferred income taxes, net(52,942)
Deferred revenue(19,638)
Other current liabilities(15,134)
Lease liabilities(168,783)
Other long term liabilities(767)
$824,509 
The fair values assigned to tangible and intangible assets acquired and liabilities assumed are preliminary based on management’s estimates and assumptions, which include Level 3 unobservable inputs, and are determined using generally accepted valuation techniques. These estimates may be subject to change as additional information is received and certain tax matters are finalized. The excess of purchase consideration over the fair value of other assets acquired and liabilities assumed was recorded as goodwill. The resulting goodwill is primarily attributable to increased expansion for market opportunities, the expansion of store membership and synergies from the integration of the stores into the broader corporate-owned store portfolio. Approximately $163,000 of the preliminary goodwill recorded is expected to be amortizable and deductible for tax purposes, the majority of which is deductible over 15 years.
The following table sets for the components of identifiable intangible assets acquired in the Sunshine Acquisition and their preliminary estimated useful lives as of the date of the acquisition:
Fair valueUseful life
Reacquired franchise rights (1)
256,340 11.9
Customer relationships (2)
25,220 8.0
Reacquired area development rights (3)
1,440 5.0
Total intangible assets subject to amortization283,000 
(1) Reacquired franchise rights represent the fair value of the reacquired franchise agreements using the income approach, specifically, the multi-period excess earnings method.
(2) Customer relationships represent the fair value of the existing contractual customer relationships using the income approach, specifically, the multi-period excess earnings method.
(3) Reacquired area development rights represent the fair value of the undeveloped area development agreement rights using the cost approach.
The fair value of the identified intangible assets subject to amortization will be amortized over the assets’ preliminary estimated useful lives based on the pattern in which the economic benefits are expected to be received.
The primary areas that remain preliminary relate to the fair values of certain tangible and intangible assets acquired, income and non-income-based taxes and residual goodwill. The Company expects to finalize the valuation as soon as practicable, but not later than one year from the acquisition date.

Revenues and income before taxes of Sunshine Fitness included in the Company’s consolidated statement of operations from the acquisition date of February 10, 2022 to March 31, 2022 are as follows:
Total revenues$28,696 
Income before taxes$7,329 

The following pro forma financial information summarizes the combined results of operations for the Company and Sunshine Fitness, as though the companies were combined as of the beginning of 2021. The pro forma financial information was as follows:
For the three months ended March 31,
20222021
Total revenues$207,126 $148,661 
Income before taxes$15,414 $9,638 
Net income$7,163 $6,260 
v3.22.1
Goodwill and Intangible Assets
 3 Months Ended
Mar. 31, 2022
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and Intangible assets Goodwill and Intangible Assets
A summary of goodwill and intangible assets at March 31, 2022 and December 31, 2021 is as follows: 
March 31, 2022Gross
carrying
amount		Accumulated
amortization		Net carrying
Amount
Customer relationships$199,253 $(141,429)$57,824 
Reacquired franchise rights295,938 (24,943)270,995 
 495,191 (166,372)328,819 
Indefinite-lived intangible:
Trade and brand names146,600 — 146,600 
Total intangible assets$641,791 $(166,372)$475,419 
Goodwill$696,299 $— $696,299 
 
December 31, 2021Gross
carrying
amount		Accumulated
amortization		Net carrying
Amount
Customer relationships$174,033 $(137,699)$36,334 
Reacquired franchise rights38,158 (20,155)18,003 
 212,191 (157,854)54,337 
Indefinite-lived intangible:
Trade and brand names146,600 — 146,600 
Total intangible assets$358,791 $(157,854)$200,937 
Goodwill$228,569 $— $228,569 
A roll forward of goodwill between December 31, 2021 and March 31, 2022 is as follows:
FranchiseCorporate-owned storesEquipmentTotal
As of December 31, 2021
$16,938 $118,965 $92,666 $228,569 
Acquisition of franchisee-owned stores— 467,730 — 467,730 
As of March 31, 2022
$16,938 $586,695 $92,666 $696,299 
The Company determined that no impairment charges were required during any periods presented.
Amortization expense related to the intangible assets totaled $8,528 and $4,159 for the three months ended March 31, 2022 and 2021, respectively. The anticipated annual amortization expense related to intangible assets to be recognized in future years as of March 31, 2022 is as follows:
 Amount
Remainder of 2022$31,992 
202350,924 
202449,791 
202538,484 
202633,660 
Thereafter123,968 
Total$328,819 
v3.22.1
Long-Term Debt
 3 Months Ended
Mar. 31, 2022
Debt Disclosure [Abstract]  
Long-Term Debt Long-Term Debt
Long-term debt as of March 31, 2022 and December 31, 2021 consists of the following: 
 March 31, 2022December 31, 2021
2018-1 Class A-2-I notes$— $556,312 
2018-1 Class A-2-II notes603,125 604,688 
2019-1 Class A-2 notes537,625 539,000 
2022-1 Class A-2-I notes425,000 — 
2022-1 Class A-2-II notes475,000 — 
Borrowings under Variable Funding Notes75,000 75,000 
Total debt, excluding deferred financing costs2,115,750 1,775,000 
Deferred financing costs, net of accumulated amortization(30,467)(17,227)
Total debt2,085,283 1,757,773 
Current portion of long-term debt20,750 17,500 
Current portion of borrowings under Variable Funding Notes75,000 — 
Long-term debt and borrowings under Variable Funding Notes, net of current portion$1,989,533 $1,740,273 
Future annual principal payments of long-term debt as of March 31, 2022 are as follows: 
 Amount
Remainder of 2022$15,563 
202320,750 
202420,750 
2025600,438 
2026494,312 
Thereafter963,937 
Total$2,115,750 
On August 1, 2018, Planet Fitness Master Issuer LLC (the “Master Issuer”), a limited-purpose, bankruptcy remote, wholly-owned indirect subsidiary of Pla-Fit Holdings, LLC, entered into a base indenture and a related supplemental indenture (collectively, the “2018 Indenture”) under which the Master Issuer may issue multiple series of notes. On the same date, the Master Issuer issued Series 2018-1 4.262% Fixed Rate Senior Secured Notes, Class A-2-I (the “2018 Class A-2-I Notes”) with an initial principal amount of $575,000 and Series 2018-1 4.666% Fixed Rate Senior Secured Notes, Class A-2-II (the “2018 Class A-2-II Notes” and, together with the 2018 Class A-2-I Notes, the “2018 Notes”) with an initial principal amount of $625,000. In connection with the issuance of the 2018 Notes, the Master Issuer also entered into a revolving financing facility that allows for the incurrence of up to $75,000 in revolving loans and/or letters of credit under the Master Issuer’s Series 2018-1 Variable Funding Senior Notes, Class A-1 (the “2018 Variable Funding Notes”). The Company fully drew down on the Variable Funding Notes on March 20, 2020. On December 3, 2019 the Master Issuer issued Series 2019-1 3.858% Fixed Rate Senior Secured Notes, Class A-2 (the “2019 Notes”) with an initial principal amount of $550,000. The 2019 Notes were issued under the 2018 Indenture and a related supplemental indenture dated December 3, 2019 (together, the “2019 Indenture”). On February 10, 2022, the Company completed a prepayment in full of its 2018-1 Class A-2-I Notes and an issuance of Series 2022-1 3.251% Fixed Rate Senior Secured Notes, Class A-2-I with an initial principal amount of $425,000 and Series 2022-1 4.008% Fixed Rate Senior Secured Notes, Class A-2-II with an initial principal amount of $475,000 (the “2022 Notes” and, together with the 2018 Notes and 2019 Notes, the “Notes”), and also entered into a new revolving financing facility that allows for the issuance of up to $75,000 in Variable Funding Notes (“2022 Variable Funding Notes”) and certain letters of credit (the issuance of such notes, the “Series 2022-I Issuance”). The 2022 Notes were issued under the 2018 Indenture and a related supplemental indenture dated February 10, 2022 (together, with the 2019 Indenture, the “Indenture”). Together, the Notes, 2018 Variable Funding Notes and 2022 Variable Funding Notes will be referred to as the “Securitized Senior Notes”. On February 10, 2022, the Company borrowed the full amount of the $75,000 2022 Variable Funding Notes and used such proceeds to repay the outstanding principal amount (together with all accrued and unpaid interest thereon) of the 2018 Variable Funding Notes in full.
The Notes were issued in securitization transactions pursuant to which most of the Company’s domestic revenue-generating assets, consisting principally of franchise-related agreements, certain corporate-owned store assets, equipment supply agreements and intellectual property and license agreements for the use of intellectual property, were assigned to the Master Issuer and certain other limited-purpose, bankruptcy remote, wholly-owned indirect subsidiaries of the Company that act as guarantors of the Securitized Senior Notes and that have pledged substantially all of their assets to secure the Securitized Senior Notes.
Interest and principal payments on the Notes are payable on a quarterly basis. The requirement to make such quarterly principal payments on the Notes is subject to certain financial conditions set forth in the Indenture. The legal final maturity date of the 2018 Class A-2-II Notes is in September 2048, but it is anticipated that, unless earlier prepaid to the extent permitted under the Indenture, the 2018 Class A-2-II Notes will be repaid in or prior to September 2025. The legal final maturity date of the 2019 Notes is in December 2049, but it is anticipated that, unless earlier prepaid to the extent permitted under the Indenture, the 2019 Notes will be repaid in or prior to December 2029. The legal final maturity date of the 2022 Notes is in February 2052, but it is anticipated that, unless earlier prepaid to the extent permitted under the Indenture, the 2022 Class A-2-I Notes will be repaid in or prior to December 2026 and the 2022 Class A-2-II Notes will be repaid in or prior to December 2031 (together, the “Anticipated Repayment Dates”). If the Master Issuer has not repaid or refinanced the Notes prior to the respective Anticipated Repayment Dates, additional interest will accrue pursuant to the Indenture.

As noted above, the Company borrowed the full $75,000 in 2022 Variable Funding Notes on February 10, 2022. The 2022 Variable Funding Notes accrue interest at a variable interest rate based on (i) the prime rate, (ii) overnight federal funds rates, (iii) the secured overnight financing rate (or “SOFR”) for U.S. Dollars, or (iv) with respect to advances made by conduit investors, the weighted average cost of, or related to, the issuance of commercial paper allocated to fund or maintain such advances, in each case plus any applicable margin and as specified in the 2022 Variable Funding Notes. As of March 31, 2022, the applicable borrowing rate is 2.45%. There is a commitment fee on the unused portion of the 2022 Variable Funding Notes of 0.5% based on utilization. It is anticipated that the principal and interest on the 2022 Variable Funding Notes will be repaid in full in or prior to December 2026, subject to two additional one-year extension options. Following the anticipated repayment date (and any extensions thereof) additional interest will accrue on the 2022 Variable Funding Notes equal to 5.0% per year.

In connection with the issuance of the 2018 Notes, 2019 Notes, and 2022 Notes the Company incurred debt issuance costs of $27,133, $10,577, and $16,191 respectively. The debt issuance costs are being amortized to “Interest expense” through the Anticipated Repayment Dates of the Notes utilizing the effective interest rate method. As a result of the repayment of the 2018 Class A-2-I Notes prior to the Anticipated Repayment Date, the Company recorded a loss on early extinguishment of debt of $1,583 within interest expense on the Consolidated statements of operations, consisting of the write-off of remaining unamortized deferred financing costs related to the issuance of the 2018 Class A-2-I Notes.
The Securitized Senior Notes are subject to covenants and restrictions customary for transactions of this type, including (i) that the Master Issuer maintains specified reserve accounts to be used to make required payments in respect of the Securitized Senior Notes, (ii) provisions relating to optional and mandatory prepayments and the related payment of specified amounts, including specified make-whole payments in the case of the Notes under certain circumstances, (iii) certain indemnification payments in the event, among other things, the assets pledged as collateral for the Securitized Senior Notes are in stated ways defective or ineffective, (iv) a cap on non-securitized indebtedness of $50,000 (provided that the Company may incur non-securitized indebtedness in excess of such amount, subject to the leverage ratio cap described below, under certain conditions, including if the relevant lenders execute a non-disturbance agreement that acknowledges the bankruptcy-remote status of the Master Issuer and its subsidiaries and of their respective assets), (v) a leverage ratio cap incurrence test on the Company of 7.0x (calculated without regard for any indebtedness subject to the $50,000 cap) and (vi) covenants relating to recordkeeping, access to information and similar matters.
Pursuant to a parent company support agreement, the Company has agreed to cause its subsidiary to perform each of its obligations (including any indemnity obligations) and duties under the Management Agreement and under the contribution agreements entered into in connection with the securitized financing facility, in each case as and when due. To the extent that such subsidiary has not performed any such obligation or duty within the prescribed time frame after such obligation or duty was required to be performed, the Company has agreed to either (i) perform such obligation or duty or (ii) cause such obligations or duties to be performed on the Company’s behalf.
The Securitized Senior Notes are also subject to customary rapid amortization events provided for in the Indenture, including events tied to failure to maintain stated debt service coverage ratios, certain manager termination events, an event of default, and the failure to repay or refinance the Notes on the applicable scheduled Anticipated Repayment Dates. The Securitized
Senior Notes are also subject to certain customary events of default, including events relating to non-payment of required interest, principal, or other amounts due on or with respect to the Securitized Senior Notes, failure to comply with covenants within certain time frames, certain bankruptcy events, breaches of specified representations and warranties, failure of security interests to be effective, and certain judgments.
In accordance with the Indenture, certain cash accounts have been established with the Indenture trustee (the “Trustee”) for the benefit of the trustee and the noteholders, and are restricted in their use. The Company holds restricted cash which primarily represents cash collections held by the Trustee, interest, principal, and commitment fee reserves held by the Trustee related to the Securitized Senior Notes. As of March 31, 2022, the Company had restricted cash held by the Trustee of $49,484. Restricted cash has been combined with cash and cash equivalents when reconciling the beginning and end of period balances in the consolidated statements of cash flows.
v3.22.1
Leases
 3 Months Ended
Mar. 31, 2022
Leases [Abstract]  
Leases Leases
LeasesClassificationMarch 31, 2022December 31, 2021
Assets
Operating lease ROU assetsRight of use asset, net$353,536 $190,330 
Finance lease assetsProperty and equipment, net of accumulated depreciation411 222 
Total lease assets$353,947 $190,552 
Liabilities
Current:
OperatingOther current liabilities$42,151 $22,523 
Noncurrent:
OperatingLease liabilities, net of current portion346,695 197,682 
FinancingOther liabilities419 230 
Total lease liabilities$389,265 $220,435 
Weighted-average remaining lease term (years) - operating leases8.58.7
Weighted-average discount rate - operating leases4.5 %5.0 %

During the three months ended March 31, 2022 and 2021, the components of lease cost were as follows:
Three months ended March 31,
20222021
Operating lease cost$11,595 $6,693 
Variable lease cost4,614 2,374 
Total lease cost$16,209 $9,067 

The Company’s costs related to short-term leases, those with a duration between one and twelve months, were immaterial.
Supplemental disclosures of cash flow information related to leases were as follows:
Three months ended March 31,
20222021
Cash paid for lease liabilities$10,536 $6,577 
Operating lease ROU assets obtained in exchange for operating lease liabilities, excluding the Sunshine Acquisition5,997 4,627 
Preliminary Sunshine Acquisition operating lease ROU assets obtained in exchange for operating lease liabilities165,847 — 

As of March 31, 2022, maturities of lease liabilities were as follows:
Amount
Remainder of 2022$43,353 
202359,507 
202460,002 
202558,872 
202654,358 
Thereafter195,899 
Total lease payments$471,991 
Less: imputed interest82,726 
Present value of lease liabilities$389,265 

As of March 31, 2022, operating lease payments exclude approximately $13,205 of legally binding minimum lease payments for leases signed but not yet commenced.
Leases Leases
LeasesClassificationMarch 31, 2022December 31, 2021
Assets
Operating lease ROU assetsRight of use asset, net$353,536 $190,330 
Finance lease assetsProperty and equipment, net of accumulated depreciation411 222 
Total lease assets$353,947 $190,552 
Liabilities
Current:
OperatingOther current liabilities$42,151 $22,523 
Noncurrent:
OperatingLease liabilities, net of current portion346,695 197,682 
FinancingOther liabilities419 230 
Total lease liabilities$389,265 $220,435 
Weighted-average remaining lease term (years) - operating leases8.58.7
Weighted-average discount rate - operating leases4.5 %5.0 %

During the three months ended March 31, 2022 and 2021, the components of lease cost were as follows:
Three months ended March 31,
20222021
Operating lease cost$11,595 $6,693 
Variable lease cost4,614 2,374 
Total lease cost$16,209 $9,067 

The Company’s costs related to short-term leases, those with a duration between one and twelve months, were immaterial.
Supplemental disclosures of cash flow information related to leases were as follows:
Three months ended March 31,
20222021
Cash paid for lease liabilities$10,536 $6,577 
Operating lease ROU assets obtained in exchange for operating lease liabilities, excluding the Sunshine Acquisition5,997 4,627 
Preliminary Sunshine Acquisition operating lease ROU assets obtained in exchange for operating lease liabilities165,847 — 

As of March 31, 2022, maturities of lease liabilities were as follows:
Amount
Remainder of 2022$43,353 
202359,507 
202460,002 
202558,872 
202654,358 
Thereafter195,899 
Total lease payments$471,991 
Less: imputed interest82,726 
Present value of lease liabilities$389,265 

As of March 31, 2022, operating lease payments exclude approximately $13,205 of legally binding minimum lease payments for leases signed but not yet commenced.
v3.22.1
Revenue recognition
 3 Months Ended
Mar. 31, 2022
Revenue from Contract with Customer [Abstract]  
Revenue recognition Revenue recognition
Contract Liabilities
Contract liabilities consist primarily of deferred revenue resulting from initial and renewal franchise fees and area development agreement (“ADA”) fees paid by franchisees, as well as transfer fees, which are generally recognized on a straight-line basis over the term of the underlying franchise agreement, and national advertising fund (“NAF”) revenue billed in advance of satisfaction of the Company’s performance obligation. Also included are corporate-owned store enrollment fees, annual fees and monthly fees as well as deferred equipment rebates relating to our equipment business. We classify these contract liabilities as deferred revenue in our condensed consolidated balance sheets.
The following table reflects the change in contract liabilities between December 31, 2021 and March 31, 2022:
Contract liabilities
Balance at December 31, 2021$61,779 
Revenue recognized that was included in the contract liability at the beginning of the year(14,535)
Other gain on settlement of preexisting contracts in connection with the Sunshine Acquisition(2,059)
Deferred revenue acquired in the Sunshine Acquisition19,638 
Increase, excluding amounts recognized or acquired in the Sunshine Acquisition during the period31,962 
Balance at March 31, 2022$96,785 
The following table illustrates estimated revenues expected to be recognized in the future related to performance obligations that are unsatisfied (or partially unsatisfied) as of March 31, 2022. The Company has elected to exclude short-term contracts, sales and usage-based royalties and any other variable consideration recognized on an “as invoiced” basis.
Contract liabilities to be recognized in:Amount
Remainder of 2022$60,610 
20238,010 
20243,789 
20253,395 
20262,995 
Thereafter17,986 
Total$96,785 
Equipment deposits received in advance of delivery as of March 31, 2022 and December 31, 2021 were $12,966 and $6,036, respectively, and are expected to be recognized as revenue in the next twelve months.
v3.22.1
Related Party Transactions
 3 Months Ended
Mar. 31, 2022
Related Party Transactions [Abstract]  
Related Party Transactions Related Party Transactions
Activity with entities considered to be related parties is summarized below: 
 For the three months ended
March 31,
 20222021
Franchise revenue$264 $761 
Equipment revenue11 — 
Total revenue from related parties$275 $761 
Additionally, the Company had deferred franchise agreement and area development agreement revenue from related parties of $153 and $164 as of March 31, 2022 and December 31, 2021, respectively.
The Company had payables to related parties pursuant to tax benefit arrangements of $83,989 and $84,595, as of March 31, 2022 and December 31, 2021, respectively (see Note 12).
The Company provides administrative services to the NAF and typically charges NAF a fee for providing these services. The services provided include accounting services, information technology, data processing, product development, legal and administrative support, and other operating expenses, which amounted to $684 and $499 for the three months ended March 31, 2022 and 2021, respectively.
For the three months ended March 31, 2022 and 2021, the Company incurred approximately $106 and $0, respectively, for corporate travel to a third-party company which is affiliated with our Chief Executive Officer, which is included within selling, general and administrative expense on the consolidated statements of operations.
In April 2021, the Company made an equity method investment in a franchisee. See Note 3.
v3.22.1
Stockholders' Equity
 3 Months Ended
Mar. 31, 2022
Equity [Abstract]  
Stockholders' Equity Stockholders’ Equity
Pursuant to the exchange agreement between the Company and the Continuing LLC Owners, the Continuing LLC Owners (or certain permitted transferees thereof) have the right, from time to time and subject to the terms of the exchange agreement, to exchange their Holdings Units, along with a corresponding number of shares of Class B common stock, for shares of Class A common stock (or cash at the option of the Company) on a one-for-one basis, subject to customary conversion rate adjustments for stock splits, stock dividends, reclassifications and similar transactions. In connection with any exchange of Holdings Units for shares of Class A common stock by a Continuing LLC Owner, the number of Holdings Units held by the Company is correspondingly increased as it acquires the exchanged Holdings Units, and a corresponding number of shares of Class B common stock are canceled.
During the three months ended March 31, 2022, in connection with the Sunshine Acquisition, the Company issued 517,348 shares of Class A Common Stock and 3,637,678 membership units of Pla-Fit Holdings, LLC, together with shares of Class B Common Stock. See Note 4.
During the three months ended March 31, 2022, certain existing holders of Holdings Units exercised their exchange rights and exchanged 548,175 Holdings Units for 548,175 newly-issued shares of Class A common stock. Simultaneously, and in connection with these exchanges, 548,175 shares of Class B common stock were surrendered by the holders of Holdings Units
that exercised their exchange rights and canceled. Additionally, in connection with these exchanges, Planet Fitness, Inc. received 548,175 Holdings Units, increasing its total ownership interest in Pla-Fit Holdings.
As a result of the above transactions, as of March 31, 2022:
•Holders of our Class A common stock owned 84,906,980 shares of our Class A common stock, representing 93.3% of the voting power in the Company and, through the Company, 84,906,980 Holdings Units representing 93.3% of the economic interest in Pla-Fit Holdings; and
•the Continuing LLC Owners collectively owned 6,145,722 Holdings Units, representing 6.7% of the economic interest in Pla-Fit Holdings, and 6,145,722 shares of our Class B common stock, representing 6.7% of the voting power in the Company.
Preferred stock
The Company had 50,000,000 shares of preferred stock authorized and none issued or outstanding as of March 31, 2022 and December 31, 2021.
v3.22.1
Earnings Per Share
 3 Months Ended
Mar. 31, 2022
Earnings Per Share [Abstract]  
Earnings Per Share Earnings Per Share
Basic earnings per share of Class A common stock is computed by dividing net income attributable to Planet Fitness, Inc. by the weighted-average number of shares of Class A common stock outstanding during the same period. Diluted earnings per share of Class A common stock is computed by dividing net income attributable to Planet Fitness, Inc. by the weighted-average number of shares of Class A common stock outstanding adjusted to give effect to potentially dilutive securities.
Shares of the Company’s Class B common stock do not share in the earnings or losses attributable to Planet Fitness, Inc. and are therefore not participating securities. As such, separate presentation of basic and diluted earnings per share of Class B common stock under the two-class method has not been presented. Shares of the Company’s Class B common stock are, however, considered potentially dilutive shares of Class A common stock because shares of Class B common stock, together with the related Holdings Units, are exchangeable into shares of Class A common stock on a one-for-one basis.
The following table sets forth reconciliations used to compute basic and diluted earnings per share of Class A common stock:  
 Three months ended
March 31,
 20222021
Numerator  
Net income$18,376 $6,190 
Less: net income attributable to non-controlling interests1,912 609 
Net income attributable to Planet Fitness, Inc.$16,464 $5,581 
Denominator
Weighted-average shares of Class A common stock outstanding - basic84,166,027 83,084,096 
Effect of dilutive securities:
Stock options386,486 563,928 
Restricted stock units82,670 59,190 
Weighted-average shares of Class A common stock outstanding - diluted84,635,183 83,707,214 
Earnings per share of Class A common stock - basic$0.20 $0.07 
Earnings per share of Class A common stock - diluted$0.19 $0.07 
Weighted average shares of Class B common stock of 5,016,837 and 3,471,842 for the three months ended March 31, 2022 and 2021, respectively, were evaluated under the if-converted method for potential dilutive effects and were determined to be anti-dilutive. Weighted average stock options outstanding of 198,203 and 44,258 for the three months ended March 31, 2022 and 2021, were evaluated under the treasury stock method for potential dilutive effects and were determined to be anti-dilutive. Weighted average restricted stock units outstanding of 43,969 and 0 for the three months ended March 31, 2022 and 2021,
respectively, were evaluated under the treasury stock method for potential dilutive effects and were determined to be anti-dilutive.
v3.22.1
Income Taxes
 3 Months Ended
Mar. 31, 2022
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
The Company is the sole managing member of Pla-Fit Holdings, which is treated as a partnership for U.S. federal and certain state and local income taxes. As a partnership, Pla-Fit Holdings is not subject to U.S. federal and certain state and local income taxes. Any taxable income or loss generated by Pla-Fit Holdings is passed through to and included in the taxable income or loss of its members, including the Company, on a pro-rata basis.
Planet Fitness, Inc. is subject to U.S. federal income taxes, in addition to state and local income taxes with respect to our allocable share of any taxable income of Pla-Fit Holdings. The Company’s effective tax rate was 38.6% and 35.1% for the three months ended March 31, 2022 and 2021, respectively. The effective tax rate for the three months ended March 31, 2022 differed from the U.S. federal statutory rate of 21% primarily due to the remeasurement of deferred taxes as a result of a change in the deferred state rate, partially offset by income attributable to non-controlling interests. The Company was also subject to taxes in foreign jurisdictions.
Net deferred tax assets of $492,924 and $539,264 as of March 31, 2022 and December 31, 2021, respectively, relate primarily to the tax effects of temporary differences in the book basis as compared to the tax basis of our investment in Pla-Fit Holdings as a result of the secondary offerings, other exchanges, recapitalization transactions and the IPO.
As of March 31, 2022 and December 31, 2021, the total liability related to uncertain tax positions was $420. The Company recognizes accrued interest and penalties, if applicable, related to unrecognized tax benefits in income tax expense. Interest and penalties for the three months ended March 31, 2022 and 2021 were not material.
Tax benefit arrangements
The Company’s acquisition of Holdings Units in connection with the IPO and future and certain past exchanges of Holdings Units for shares of the Company’s Class A common stock (or cash at the option of the Company) are expected to produce and have produced favorable tax attributes. In connection with the IPO, the Company entered into two tax receivable agreements. Under the first of those agreements, the Company generally is required to pay to certain existing and previous equity owners of Pla-Fit Holdings (the “TRA Holders”) 85% of the applicable tax savings, if any, in U.S. federal and state income tax that the Company is deemed to realize as a result of certain tax attributes of their Holdings Units sold to the Company (or exchanged in a taxable sale) and that are created as a result of (i) the exchanges of their Holdings Units for shares of Class A common stock and (ii) tax benefits attributable to payments made under the tax receivable agreement (including imputed interest). Under the second tax receivable agreement, the Company generally is required to pay to TSG AIV II-A L.P and TSG PF Co-Investors A L.P. (the “Direct TSG Investors”) 85% of the amount of tax savings, if any, that the Company is deemed to realize as a result of the tax attributes of the Holdings Units held in respect of the Direct TSG Investors’ interest in the Company, which resulted from the Direct TSG Investors’ purchase of interests in Pla-Fit Holdings in 2012, and certain other tax benefits. Under both agreements, the Company generally retains the benefit of the remaining 15% of the applicable tax savings.
As of March 31, 2022 and December 31, 2021, the Company had a liability of $524,318 and $528,107, respectively, related to its projected obligations under the tax benefit arrangements. During the three months ended March 31, 2022, the Company reduced its tax benefit arrangement liability and recognized a gain of $3,788 on the remeasurement of our tax benefit arrangements due to changes in our deferred state rate. Projected future payments under the tax benefit arrangements are as follows:
 Amount
Remainder of 2022$20,302 
202334,406 
202445,028 
202554,967 
202655,299 
Thereafter314,316 
Total$524,318 
During the three months ended March 31, 2022, 548,175 Holdings Units were exchanged for newly issued shares of Class A common stock, resulting in an increase in the tax basis of the net assets of Pla-Fit Holdings. As a result of the change in Planet
Fitness, Inc.’s ownership percentage of Pla-Fit Holdings, we recorded an increase to our net deferred tax assets of $1,365 during the three months ended March 31, 2022. As a result of these exchanges, during the three months ended March 31, 2022, we also recognized deferred tax assets in the amount of $16,170 as a result of the increase in tax basis. These exchanges were not made by TRA holders and did not result in an increase in the tax benefit arrangement liability. The offset to the entries recorded in connection with exchanges was to additional paid in capital within stockholders’ deficit.
v3.22.1
Commitments and contingencies
 3 Months Ended
Mar. 31, 2022
Commitments and Contingencies Disclosure [Abstract]  
Commitments and contingencies Commitments and contingencies
From time to time, and in the ordinary course of business, the Company is subject to various claims, charges, and litigation, such as employment-related claims and slip and fall cases.
On September 3, 2020, the Company and other defendants, including an officer of the Company who is a related party, received a final amendment to the joint and several judgment against them in a civil action brought by a former employee. As of March 31, 2022, the Company has estimated its obligation related to this matter to be approximately $2,225, which is included in other current liabilities on the condensed consolidated balance sheet. In connection with 2012 acquisition of Pla-Fit Holdings on November 8, 2012, the sellers are obligated to indemnify the Company related to this specific matter. The Company has therefore recorded an offsetting indemnification receivable of $2,225 in other receivables on the Company’s condensed consolidated balance sheet, for which it has determined to record a full reserve as a result of potential uncertainty around collectability. Due to the joint and several nature of the judgment, the Company has determined that the amount of estimated obligation recorded constitutes a related party transaction. The Company has incurred, and may incur in the future, legal costs on behalf of the defendants in the case, which include a related party. These costs have not been and are not expected to be material in the future.
Mexico Acquisition
On March 19, 2020, a franchisee in Mexico exercised a put option that requires the Company to acquire their franchisee-owned stores in Mexico. The transaction has not closed as of March 31, 2022 as the parties are in dispute over the final terms of the transaction and related matters. The Company analyzed the contract and estimates that the purchase price will approximate fair value of the acquired assets.
The Company is not currently aware of any other legal proceedings or claims that the Company believes will have, individually or in the aggregate, a material adverse effect on the Company’s financial position or result of operations.
v3.22.1
Segments
 3 Months Ended
Mar. 31, 2022
Segment Reporting [Abstract]  
Segments Segments
The Company has three reportable segments: (i) Franchise; (ii) Corporate-owned stores; and (iii) Equipment.  
The Company’s operations are organized and managed by type of products and services and segment information is reported accordingly. The Company’s chief operating decision maker (the “CODM”) is its Chief Executive Officer. The CODM reviews financial performance and allocates resources by reportable segment. There have been no operating segments aggregated to arrive at the Company’s reportable segments.
The Franchise segment includes operations related to the Company’s franchising business in the United States, Puerto Rico, Canada, Panama, Mexico and Australia, including revenues and expenses from the NAF. The Corporate-owned stores segment includes operations with respect to all corporate-owned stores throughout the United States and Canada. The Equipment segment primarily includes the sale of equipment to franchisee-owned stores.
The accounting policies of the reportable segments are the same as those described in Note 2. The Company evaluates the performance of its segments and allocates resources to them based on revenue and earnings before interest, taxes, depreciation, and amortization, referred to as Segment EBITDA. Revenues for all operating segments include only transactions with unaffiliated customers and include no intersegment revenues.
The tables below summarize the financial information for the Company’s reportable segments for the three months ended March 31, 2022 and 2021. The “Corporate and other” category, as it relates to Segment EBITDA, primarily includes corporate overhead costs, such as payroll and related benefit costs and professional services which are not directly attributable to any individual segment.
 Three months ended
March 31,
 20222021
Revenue  
Franchise segment revenue - U.S.$78,434 $63,344 
Franchise segment revenue - International1,650 717 
Franchise segment total80,084 64,061 
Corporate-owned stores - U.S.75,401 37,800 
Corporate-owned stores - International756 77 
Corporate-owned stores total76,157 37,877 
Equipment segment - U.S.29,790 9,939 
Equipment segment - International645 — 
Equipment segment total30,435 9,939 
Total revenue$186,676 $111,877 
Franchise segment revenue includes franchise revenue, NAF revenue, and commission income.
Franchise revenue includes revenue generated from placement services of $2,339 and $779 for the three months ended March 31, 2022 and 2021, respectively.
 Three months ended
March 31,
 20222021
Segment EBITDA  
Franchise$60,106 $41,180 
Corporate-owned stores23,364 10,691 
Equipment8,653 1,830 
Corporate and other(13,931)(8,656)
Total Segment EBITDA$78,192 $45,045 
 
The following table reconciles total Segment EBITDA to income before taxes:
 Three months ended
March 31,
 20222021
Total Segment EBITDA$78,192 $45,045 
Less:
Depreciation and amortization25,683 15,474 
Other income4,090 165 
Equity earnings (losses) of unconsolidated entities, net of tax(238)— 
Income from operations48,657 29,406 
Interest income209 217 
Interest expense(22,631)(20,244)
Other income4,090 165 
Income before income taxes$30,325 $9,544 
The following table summarizes the Company’s assets by reportable segment: 
 March 31, 2022December 31, 2021
Franchise$199,525 $172,822 
Corporate-owned stores1,617,591 516,714 
Equipment182,701 193,983 
Unallocated992,585 1,132,464 
Total consolidated assets$2,992,402 $2,015,983 
The table above includes $1,170 and $1,203 of long-lived assets located in the Company’s international corporate-owned stores as of March 31, 2022 and December 31, 2021, respectively. All other assets are located in the U.S.
The following table summarizes the Company’s goodwill by reportable segment: 
 March 31, 2022December 31, 2021
Franchise$16,938 $16,938 
Corporate-owned stores586,695 118,965 
Equipment92,666 92,666 
Consolidated goodwill$696,299 $228,569 
v3.22.1
Corporate-Owned and Franchisee-Owned Stores
 3 Months Ended
Mar. 31, 2022
Franchisors [Abstract]  
Corporate-Owned and Franchisee-Owned Stores Corporate-Owned and Franchisee-Owned Stores
The following table shows changes in our corporate-owned and franchisee-owned stores for the three months ended March 31, 2022 and 2021:
 For the three months ended
March 31,
 20222021
Franchisee-owned stores:  
Stores operated at beginning of period2,142 2,021 
New stores opened34 22 
Stores debranded, sold or consolidated(1)
(114)— 
Stores operated at end of period2,062 2,043 
Corporate-owned stores:
Stores operated at beginning of period112 103 
New stores opened3 — 
Stores acquired from franchisees114 — 
Stores operated at end of period229 103 
Total stores:
Stores operated at beginning of period2,254 2,124 
New stores opened37 22 
Stores acquired, debranded, sold or consolidated(1)
— — 
Stores operated at end of period2,291 2,146 
 (1)     The term “debrand” refers to a franchisee-owned store whose right to use the Planet Fitness brand and marks has been terminated in accordance with the franchise agreement. The Company retains the right to prevent debranded stores from continuing to operate as fitness centers. The term “consolidated” refers to the combination of a franchisee’s store with another store located in close proximity with our prior approval. This often coincides with an enlargement, re-equipment and/or refurbishment of the remaining store.)
v3.22.1
Subsequent events
 3 Months Ended
Mar. 31, 2022
Subsequent Events [Abstract]  
Subsequent events Subsequent eventsOn May 9, 2022, the Company repaid in full its $75,000 of borrowings under the 2022 Variable Funding Notes using cash on hand.
v3.22.1
Summary of significant accounting policies (Policies)
 3 Months Ended
Mar. 31, 2022
Accounting Policies [Abstract]  
Basis of presentation and consolidation Basis of presentation and consolidation
The accompanying unaudited interim condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information and pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). Accordingly, these interim financial statements do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring adjustments) necessary for a fair presentation of the results of operations, financial position and cash flows for the periods presented have been reflected. All significant intercompany balances and transactions have been eliminated in consolidation.
The condensed consolidated financial statements as of and for the three months ended March 31, 2022 and 2021 are unaudited. The condensed consolidated balance sheet as of December 31, 2021 has been derived from the audited financial statements at that date but does not include all of the disclosures required by U.S. GAAP. These interim condensed consolidated financial statements should be read in conjunction with the Company’s Annual Report on Form 10-K for the year ended December 31, 2021 (the “Annual Report”) filed with the SEC on March 1, 2021. The Company’s significant interim accounting policies include the proportional recognition of national advertising fund expenses within interim periods. Operating results for the interim periods are not necessarily indicative of the results that may be expected for the full year.
Use of estimates Use of estimatesThe preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Although these estimates are based on management’s knowledge of current events and actions it may undertake in the future, they may ultimately differ from actual results. Significant areas where estimates and judgments are relied upon by management in the preparation of the consolidated financial statements include revenue recognition, valuation of equity-based compensation awards, valuation of long-lived and intangible assets acquired in a business combination, the evaluation of the recoverability of goodwill and long-lived assets, including intangible assets, income taxes, including deferred tax assets and liabilities and reserves for unrecognized tax benefits, the liability for the Company’s tax benefit arrangements, and the value of the lease liability and related right-of-use asset recorded in accordance with ASC 842 (see Note 7).
Fair Value Fair Value
ASC 820, Fair Value Measurements and Disclosures, establishes a three-level valuation hierarchy for disclosure of fair value measurements. The valuation hierarchy is based upon the transparency of inputs to the valuation of an asset or liability as of the measurement date. Categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The three levels are defined as follows:
Level 1—Inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets.
Level 2—Inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument.
Level 3—Inputs to the valuation methodology are unobservable and significant to the fair value measurement.
Recent accounting pronouncements Recent accounting pronouncementsThe FASB issued ASU No. 2021-08, Accounting for Contract Assets and Contract Liabilities from Contracts with Customers, in October, 2021. The guidance improves the accounting for acquired revenue contracts with customers in a business combination by requiring contract assets and contract liabilities acquired in a business combination to be recognized and measured by the acquirer on the acquisition date in accordance with ASC Topic 606, Revenue from Contracts with Customers, as if the acquirer had originated the contracts. This guidance will be effective for fiscal years beginning after December 15, 2022, including interim periods within that year, with early adoption permitted. The Company early adopted this guidance as of January 1, 2022, for all acquisitions subsequent to the adoption date.
Investments
Investments - Debt securities
As of March 31, 2022, the Company’s debt security investments consist of redeemable preferred shares that are accounted for as held-to-maturity debt securities. The Company’s investments are measured at amortized cost within Investments in the condensed consolidated balance sheets. The Company reviews its held-to-maturity securities for expected credit losses under ASC Topic 326, Credit Impairment, on an ongoing basis.
During the three months ended March 31, 2022, the Company’s review of the investee’s operations and financial position indicated that an adjustment to its allowance for expected credit losses was necessary. The Company utilized a probability-of-default (“PD”) and loss-given-default (“LGD”) methodology to calculate the allowance for expected credit losses. The Company derived its estimate using historical lifetime loss information for assets with similar risk characteristics, adjusted for management’s expectations. Adjustments for management’s expectations were based on the investees recent financial results, current financial position, and forward-looking financial forecasts. Based upon its analysis, the Company recorded a gain on the adjustment of its allowance for credit losses of $2,110 within other (gains) losses, net on the consolidated statements of operations.
v3.22.1
Summary of Significant Accounting Policies (Tables)
 3 Months Ended
Mar. 31, 2022
Accounting Policies [Abstract]  
Schedule of the Carrying Value and Estimated Fair Value of Certain Assets and Liabilities
The carrying value and estimated fair value of certain assets and liabilities as of March 31, 2022 and December 31, 2021 were as follows:
March 31, 2022December 31, 2021
Carrying value
Estimated fair value(1)
Carrying value
Estimated fair value(1)
Liabilities
Long-term debt(1)
$2,040,750 $1,943,457 $1,700,000 $1,725,021 
Variable Funding Notes(1)
$75,000 $75,000 $75,000 $75,000 
(1) The Company’s Variable Funding Notes are a variable rate loan and the fair value of this loan approximates book value based on the borrowing rates currently available for variable rate loans obtained from third party lending institutions. The estimated fair value of our fixed rate long-term debt is estimated primarily based on current bid prices for our long-term debt. Judgment is required to develop these estimates. As such, the fair value of our long-term debt is classified within Level 2, as defined under U.S. GAAP.
v3.22.1
Investments (Tables)
 3 Months Ended
Mar. 31, 2022
Investments, Debt and Equity Securities [Abstract]  
Debt Securities, Held-to-maturity, Allowance for Credit Loss
A roll forward of the Company’s allowance for expected credit losses on held-to-maturity investments is as follows:
Three months ended March 31, 2022
Beginning allowance for expected credit losses$17,462 
Gain on adjustment in allowance for expected credit losses(2,110)
Write-offs, net of recoveries— 
Ending allowance for expected credit losses$15,352 
v3.22.1
Acquisitions (Tables)
 3 Months Ended
Mar. 31, 2022
Business Combination and Asset Acquisition [Abstract]  
Schedule of Purchase Consideration Allocation
The preliminary allocation of the estimated purchase consideration was allocated as follows:
Amount
Cash and cash equivalents$6,105 
Other current assets4,930 
Property and equipment152,548 
Right of use assets165,847 
Other long term assets1,613 
Intangible assets283,000 
Goodwill467,730 
Deferred income taxes, net(52,942)
Deferred revenue(19,638)
Other current liabilities(15,134)
Lease liabilities(168,783)
Other long term liabilities(767)
$824,509 
Components of Identifiable Intangible Assets Acquired
The following table sets for the components of identifiable intangible assets acquired in the Sunshine Acquisition and their preliminary estimated useful lives as of the date of the acquisition:
Fair valueUseful life
Reacquired franchise rights (1)
256,340 11.9
Customer relationships (2)
25,220 8.0
Reacquired area development rights (3)
1,440 5.0
Total intangible assets subject to amortization283,000 
(1) Reacquired franchise rights represent the fair value of the reacquired franchise agreements using the income approach, specifically, the multi-period excess earnings method.
(2) Customer relationships represent the fair value of the existing contractual customer relationships using the income approach, specifically, the multi-period excess earnings method.
(3) Reacquired area development rights represent the fair value of the undeveloped area development agreement rights using the cost approach.
Schedule of Revenues and Income Before Taxes
Revenues and income before taxes of Sunshine Fitness included in the Company’s consolidated statement of operations from the acquisition date of February 10, 2022 to March 31, 2022 are as follows:
Total revenues$28,696 
Income before taxes$7,329 
Schedule of Pro Forma Financial Information
The following pro forma financial information summarizes the combined results of operations for the Company and Sunshine Fitness, as though the companies were combined as of the beginning of 2021. The pro forma financial information was as follows:
For the three months ended March 31,
20222021
Total revenues$207,126 $148,661 
Income before taxes$15,414 $9,638 
Net income$7,163 $6,260 
v3.22.1
Goodwill and Intangible Assets (Tables)
 3 Months Ended
Mar. 31, 2022
Goodwill and Intangible Assets Disclosure [Abstract]  
Summary of Goodwill and Intangible Assets
A summary of goodwill and intangible assets at March 31, 2022 and December 31, 2021 is as follows: 
March 31, 2022Gross
carrying
amount		Accumulated
amortization		Net carrying
Amount
Customer relationships$199,253 $(141,429)$57,824 
Reacquired franchise rights295,938 (24,943)270,995 
 495,191 (166,372)328,819 
Indefinite-lived intangible:
Trade and brand names146,600 — 146,600 
Total intangible assets$641,791 $(166,372)$475,419 
Goodwill$696,299 $— $696,299 
 
December 31, 2021Gross
carrying
amount		Accumulated
amortization		Net carrying
Amount
Customer relationships$174,033 $(137,699)$36,334 
Reacquired franchise rights38,158 (20,155)18,003 
 212,191 (157,854)54,337 
Indefinite-lived intangible:
Trade and brand names146,600 — 146,600 
Total intangible assets$358,791 $(157,854)$200,937 
Goodwill$228,569 $— $228,569 
Schedule of Rollforward of Goodwill
A roll forward of goodwill between December 31, 2021 and March 31, 2022 is as follows:
FranchiseCorporate-owned storesEquipmentTotal
As of December 31, 2021
$16,938 $118,965 $92,666 $228,569 
Acquisition of franchisee-owned stores— 467,730 — 467,730 
As of March 31, 2022
$16,938 $586,695 $92,666 $696,299 
The following table summarizes the Company’s goodwill by reportable segment: 
 March 31, 2022December 31, 2021
Franchise$16,938 $16,938 
Corporate-owned stores586,695 118,965 
Equipment92,666 92,666 
Consolidated goodwill$696,299 $228,569 
Summary of Amortization expenses The anticipated annual amortization expense related to intangible assets to be recognized in future years as of March 31, 2022 is as follows:
 Amount
Remainder of 2022$31,992 
202350,924 
202449,791 
202538,484 
202633,660 
Thereafter123,968 
Total$328,819 
v3.22.1
Long-Term Debt (Tables)
 3 Months Ended
Mar. 31, 2022
Debt Disclosure [Abstract]  
Schedule of Long-Term Debt
Long-term debt as of March 31, 2022 and December 31, 2021 consists of the following: 
 March 31, 2022December 31, 2021
2018-1 Class A-2-I notes$— $556,312 
2018-1 Class A-2-II notes603,125 604,688 
2019-1 Class A-2 notes537,625 539,000 
2022-1 Class A-2-I notes425,000 — 
2022-1 Class A-2-II notes475,000 — 
Borrowings under Variable Funding Notes75,000 75,000 
Total debt, excluding deferred financing costs2,115,750 1,775,000 
Deferred financing costs, net of accumulated amortization(30,467)(17,227)
Total debt2,085,283 1,757,773 
Current portion of long-term debt20,750 17,500 
Current portion of borrowings under Variable Funding Notes75,000 — 
Long-term debt and borrowings under Variable Funding Notes, net of current portion$1,989,533 $1,740,273 
Schedule of Future Annual Payments of Long-term Debt
Future annual principal payments of long-term debt as of March 31, 2022 are as follows: 
 Amount
Remainder of 2022$15,563 
202320,750 
202420,750 
2025600,438 
2026494,312 
Thereafter963,937 
Total$2,115,750 
v3.22.1
Leases (Tables)
 3 Months Ended
Mar. 31, 2022
Leases [Abstract]  
Balance Sheet Classification of Lease Assets and Liabilities
LeasesClassificationMarch 31, 2022December 31, 2021
Assets
Operating lease ROU assetsRight of use asset, net$353,536 $190,330 
Finance lease assetsProperty and equipment, net of accumulated depreciation411 222 
Total lease assets$353,947 $190,552 
Liabilities
Current:
OperatingOther current liabilities$42,151 $22,523 
Noncurrent:
OperatingLease liabilities, net of current portion346,695 197,682 
FinancingOther liabilities419 230 
Total lease liabilities$389,265 $220,435 
Weighted-average remaining lease term (years) - operating leases8.58.7
Weighted-average discount rate - operating leases4.5 %5.0 %
Components of Lease Cost
During the three months ended March 31, 2022 and 2021, the components of lease cost were as follows:
Three months ended March 31,
20222021
Operating lease cost$11,595 $6,693 
Variable lease cost4,614 2,374 
Total lease cost$16,209 $9,067 
Supplemental disclosures of cash flow information related to leases were as follows:
Three months ended March 31,
20222021
Cash paid for lease liabilities$10,536 $6,577 
Operating lease ROU assets obtained in exchange for operating lease liabilities, excluding the Sunshine Acquisition5,997 4,627 
Preliminary Sunshine Acquisition operating lease ROU assets obtained in exchange for operating lease liabilities165,847 — 
Schedule of Supplemental Disclosures of Cash Flow Information Related to Leases
During the three months ended March 31, 2022 and 2021, the components of lease cost were as follows:
Three months ended March 31,
20222021
Operating lease cost$11,595 $6,693 
Variable lease cost4,614 2,374 
Total lease cost$16,209 $9,067 
Supplemental disclosures of cash flow information related to leases were as follows:
Three months ended March 31,
20222021
Cash paid for lease liabilities$10,536 $6,577 
Operating lease ROU assets obtained in exchange for operating lease liabilities, excluding the Sunshine Acquisition5,997 4,627 
Preliminary Sunshine Acquisition operating lease ROU assets obtained in exchange for operating lease liabilities165,847 — 
Maturities of Lease Liabilities
As of March 31, 2022, maturities of lease liabilities were as follows:
Amount
Remainder of 2022$43,353 
202359,507 
202460,002 
202558,872 
202654,358 
Thereafter195,899 
Total lease payments$471,991 
Less: imputed interest82,726 
Present value of lease liabilities$389,265 
Maturities of Lease Liabilities
As of March 31, 2022, maturities of lease liabilities were as follows:
Amount
Remainder of 2022$43,353 
202359,507 
202460,002 
202558,872 
202654,358 
Thereafter195,899 
Total lease payments$471,991 
Less: imputed interest82,726 
Present value of lease liabilities$389,265 
v3.22.1
Revenue recognition (Tables)
 3 Months Ended
Mar. 31, 2022
Revenue from Contract with Customer [Abstract]  
Schedule of Contract Liabilities
The following table reflects the change in contract liabilities between December 31, 2021 and March 31, 2022:
Contract liabilities
Balance at December 31, 2021$61,779 
Revenue recognized that was included in the contract liability at the beginning of the year(14,535)
Other gain on settlement of preexisting contracts in connection with the Sunshine Acquisition(2,059)
Deferred revenue acquired in the Sunshine Acquisition19,638 
Increase, excluding amounts recognized or acquired in the Sunshine Acquisition during the period31,962 
Balance at March 31, 2022$96,785 
Remaining Performance Obligation The following table illustrates estimated revenues expected to be recognized in the future related to performance obligations that are unsatisfied (or partially unsatisfied) as of March 31, 2022. The Company has elected to exclude short-term contracts, sales and usage-based royalties and any other variable consideration recognized on an “as invoiced” basis.
Contract liabilities to be recognized in:Amount
Remainder of 2022$60,610 
20238,010 
20243,789 
20253,395 
20262,995 
Thereafter17,986 
Total$96,785 
v3.22.1
Related Party Transactions (Tables)
 3 Months Ended
Mar. 31, 2022
Related Party Transactions [Abstract]  
Schedule of Related Party Transactions
Activity with entities considered to be related parties is summarized below: 
 For the three months ended
March 31,
 20222021
Franchise revenue$264 $761 
Equipment revenue11 — 
Total revenue from related parties$275 $761 
v3.22.1
Earnings Per Share (Tables)
 3 Months Ended
Mar. 31, 2022
Earnings Per Share [Abstract]  
Reconciliation of Numerators and Denominators Used to Compute Basic and Diluted Earnings per Share
The following table sets forth reconciliations used to compute basic and diluted earnings per share of Class A common stock:  
 Three months ended
March 31,
 20222021
Numerator  
Net income$18,376 $6,190 
Less: net income attributable to non-controlling interests1,912 609 
Net income attributable to Planet Fitness, Inc.$16,464 $5,581 
Denominator
Weighted-average shares of Class A common stock outstanding - basic84,166,027 83,084,096 
Effect of dilutive securities:
Stock options386,486 563,928 
Restricted stock units82,670 59,190 
Weighted-average shares of Class A common stock outstanding - diluted84,635,183 83,707,214 
Earnings per share of Class A common stock - basic$0.20 $0.07 
Earnings per share of Class A common stock - diluted$0.19 $0.07 
v3.22.1
Income Taxes (Tables)
 3 Months Ended
Mar. 31, 2022
Income Tax Disclosure [Abstract]  
Schedule of Future Payments Under Tax Benefit Arrangements Projected future payments under the tax benefit arrangements are as follows:
 Amount
Remainder of 2022$20,302 
202334,406 
202445,028 
202554,967 
202655,299 
Thereafter314,316 
Total$524,318 
v3.22.1
Segments (Tables)
 3 Months Ended
Mar. 31, 2022
Segment Reporting [Abstract]  
Summary of Financial Information for the Company's Reportable Segments The tables below summarize the financial information for the Company’s reportable segments for the three months ended March 31, 2022 and 2021. The “Corporate and other” category, as it relates to Segment EBITDA, primarily includes corporate overhead costs, such as payroll and related benefit costs and professional services which are not directly attributable to any individual segment.
 Three months ended
March 31,
 20222021
Revenue  
Franchise segment revenue - U.S.$78,434 $63,344 
Franchise segment revenue - International1,650 717 
Franchise segment total80,084 64,061 
Corporate-owned stores - U.S.75,401 37,800 
Corporate-owned stores - International756 77 
Corporate-owned stores total76,157 37,877 
Equipment segment - U.S.29,790 9,939 
Equipment segment - International645 — 
Equipment segment total30,435 9,939 
Total revenue$186,676 $111,877 
 Three months ended
March 31,
 20222021
Segment EBITDA  
Franchise$60,106 $41,180 
Corporate-owned stores23,364 10,691 
Equipment8,653 1,830 
Corporate and other(13,931)(8,656)
Total Segment EBITDA$78,192 $45,045 
Reconciliation of Total Segment EBITDA to (Loss) Income Before Taxes
The following table reconciles total Segment EBITDA to income before taxes:
 Three months ended
March 31,
 20222021
Total Segment EBITDA$78,192 $45,045 
Less:
Depreciation and amortization25,683 15,474 
Other income4,090 165 
Equity earnings (losses) of unconsolidated entities, net of tax(238)— 
Income from operations48,657 29,406 
Interest income209 217 
Interest expense(22,631)(20,244)
Other income4,090 165 
Income before income taxes$30,325 $9,544 
Summary of Company's Assets by Reportable Segment
The following table summarizes the Company’s assets by reportable segment: 
 March 31, 2022December 31, 2021
Franchise$199,525 $172,822 
Corporate-owned stores1,617,591 516,714 
Equipment182,701 193,983 
Unallocated992,585 1,132,464 
Total consolidated assets$2,992,402 $2,015,983 
Summary of Company's Goodwill by Reportable Segment
A roll forward of goodwill between December 31, 2021 and March 31, 2022 is as follows:
FranchiseCorporate-owned storesEquipmentTotal
As of December 31, 2021
$16,938 $118,965 $92,666 $228,569 
Acquisition of franchisee-owned stores— 467,730 — 467,730 
As of March 31, 2022
$16,938 $586,695 $92,666 $696,299 
The following table summarizes the Company’s goodwill by reportable segment: 
 March 31, 2022December 31, 2021
Franchise$16,938 $16,938 
Corporate-owned stores586,695 118,965 
Equipment92,666 92,666 
Consolidated goodwill$696,299 $228,569 
v3.22.1
Corporate-Owned and Franchisee-Owned Stores (Tables)
 3 Months Ended
Mar. 31, 2022
Franchisors [Abstract]  
Schedule of Changes in Corporate-Owned and Franchisee-Owned Stores
The following table shows changes in our corporate-owned and franchisee-owned stores for the three months ended March 31, 2022 and 2021:
 For the three months ended
March 31,
 20222021
Franchisee-owned stores:  
Stores operated at beginning of period2,142 2,021 
New stores opened34 22 
Stores debranded, sold or consolidated(1)
(114)— 
Stores operated at end of period2,062 2,043 
Corporate-owned stores:
Stores operated at beginning of period112 103 
New stores opened3 — 
Stores acquired from franchisees114 — 
Stores operated at end of period229 103 
Total stores:
Stores operated at beginning of period2,254 2,124 
New stores opened37 22 
Stores acquired, debranded, sold or consolidated(1)
— — 
Stores operated at end of period2,291 2,146 
 (1)     The term “debrand” refers to a franchisee-owned store whose right to use the Planet Fitness brand and marks has been terminated in accordance with the franchise agreement. The Company retains the right to prevent debranded stores from continuing to operate as fitness centers. The term “consolidated” refers to the combination of a franchisee’s store with another store located in close proximity with our prior approval. This often coincides with an enlargement, re-equipment and/or refurbishment of the remaining store.)
v3.22.1
Business Organization - Additional Information (Details)
member in Millions
 3 Months Ended
Mar. 31, 2022
segment
store
member
state
Dec. 31, 2021
store
Mar. 31, 2021
store
Dec. 31, 2020
store
Aug. 05, 2015
Organization Consolidation And Presentation Of Financial Statements Disclosure [Line Items]          
Number of owned and franchised locations 2,291 2,254 2,146 2,124  
Number of states in which entity operates | state 50        
Number of stores closed 0        
Number of reportable segments | segment 3        
Pla-Fit Holdings, LLC          
Organization Consolidation And Presentation Of Financial Statements Disclosure [Line Items]          
Percentage of ownership (in percentage) 100.00%       100.00%
Percentage of economic interest (in percentage) 93.30%        
Pla-Fit Holdings, LLC | Holdings Units          
Organization Consolidation And Presentation Of Financial Statements Disclosure [Line Items]          
Percentage of economic interest (in percentage) 6.70%        
Planet Intermediate, LLC | Pla-Fit Holdings, LLC          
Organization Consolidation And Presentation Of Financial Statements Disclosure [Line Items]          
Percentage of ownership (in percentage)         100.00%
Planet Fitness Holdings, LLC | Planet Intermediate, LLC          
Organization Consolidation And Presentation Of Financial Statements Disclosure [Line Items]          
Percentage of ownership (in percentage)         100.00%
Minimum          
Organization Consolidation And Presentation Of Financial Statements Disclosure [Line Items]          
Number of members (more than) | member 16.2        
v3.22.1
Summary of Significant Accounting Policies - Schedule of the Carrying Value and Estimated Fair Value of Certain Assets and Liabilities (Details) - USD ($)
$ in Thousands
Mar. 31, 2022
Dec. 31, 2021
Carrying value    
Liabilities    
Long-term debt $ 2,040,750 $ 1,700,000
Variable Funding Notes 75,000 75,000
Estimated fair value    
Liabilities    
Long-term debt 1,943,457 1,725,021
Variable Funding Notes $ 75,000 $ 75,000
v3.22.1
Investments - Narrative (Details) - USD ($)
$ in Thousands
 3 Months Ended
Apr. 09, 2021
Mar. 31, 2022
Mar. 31, 2021
Dec. 31, 2021
Schedule of Equity Method Investments [Line Items]        
Gain on adjustment in allowance for expected credit losses   $ (2,110) $ 0  
Allowance for expected credit loss   15,352   $ 17,462
Amortized cost of held-to-maturity debt security investments   26,852   26,401
Dividends accrued on investment   451    
Equity earnings (losses) of unconsolidated entities, net of tax   (238) $ 0  
Equity Method Investment, Underlying Equity in Net Assets   $ 9,582   $ 9,820
Planet Fitness Australia Holdings        
Schedule of Equity Method Investments [Line Items]        
Ownership percentage 21.00%      
Payment to acquire equity method investment $ 10,000      
v3.22.1
Investments - Held-to-Maturity Debt Security Investments (Details) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2022
Mar. 31, 2021
Debt Securities, Held-to-maturity, Allowance for Credit Loss [Roll Forward]    
Beginning allowance for expected credit losses $ 17,462  
Gain on adjustment in allowance for expected credit losses (2,110) $ 0
Write-offs, net of recoveries 0  
Ending allowance for expected credit losses $ 15,352  
v3.22.1
Acquisitions - Narrative (Details)
$ / shares in Units, $ in Thousands
 3 Months Ended
Feb. 10, 2022
USD ($)
store
$ / shares
shares
Mar. 31, 2022
USD ($)
store
$ / shares
Dec. 31, 2021
store
$ / shares
Mar. 31, 2021
store
Dec. 31, 2020
store
Business Acquisition [Line Items]          
Number of owned and franchised locations | store   2,291 2,254 2,146 2,124
Settlement of preexisting contracts   $ 2,059      
Class A Common Stock          
Business Acquisition [Line Items]          
Common stock, par value (in usd per share) | $ / shares   $ 0.0001 $ 0.0001    
Class B Common Stock          
Business Acquisition [Line Items]          
Common stock, par value (in usd per share) | $ / shares $ 0.0001 $ 0.0001 $ 0.0001    
Sunshine Fitness          
Business Acquisition [Line Items]          
Percentage of voting interests acquired 100.00%        
Number of owned and franchised locations | store 114        
Purchase price of the acquisition $ 825,670        
Cash consideration 431,939        
Loss on unfavorable reacquired franchise rights 1,160        
Adjusted net assets acquired 824,509        
Settlement of preexisting contracts 2,059        
Goodwill and expected tax deductible amount $ 163,000        
Expected tax deductible period 15 years        
Sunshine Fitness | Class A Common Stock          
Business Acquisition [Line Items]          
Equity consideration $ 393,730        
Equity consideration (in shares) | shares 517,348        
Common stock, par value (in usd per share) | $ / shares $ 0.0001        
Sunshine Fitness | Holdings Units          
Business Acquisition [Line Items]          
Equity consideration (in shares) | shares 3,637,678        
v3.22.1
Acquisitions - Schedule of Purchase Consideration Allocation (Details) - USD ($)
$ in Thousands
Mar. 31, 2022
Feb. 10, 2022
Dec. 31, 2021
Business Acquisition [Line Items]      
Goodwill $ 696,299   $ 228,569
Sunshine Fitness      
Business Acquisition [Line Items]      
Cash and cash equivalents   $ 6,105  
Other current assets   4,930  
Property and equipment   152,548  
Right of use assets   165,847  
Other long term assets   1,613  
Intangible assets   283,000  
Goodwill   467,730  
Deferred income taxes, net   (52,942)  
Deferred revenue   (19,638)  
Other current liabilities   (15,134)  
Lease liabilities   (168,783)  
Other long term liabilities   (767)  
Net assets acquired   $ 824,509  
v3.22.1
Acquisitions - Components of Identifiable Intangible Assets Acquired (Details) - Sunshine Fitness
$ in Thousands
Feb. 10, 2022
USD ($)
Business Acquisition [Line Items]  
Fair value $ 283,000
Reacquired franchise rights  
Business Acquisition [Line Items]  
Fair value $ 256,340
Useful life 11 years 10 months 24 days
Customer relationships  
Business Acquisition [Line Items]  
Fair value $ 25,220
Useful life 8 years
Reacquired area development rights  
Business Acquisition [Line Items]  
Fair value $ 1,440
Useful life 5 years
v3.22.1
Acquisitions - Schedule of Revenues and Income Before Taxes (Details) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2022
Mar. 31, 2021
Business Acquisition [Line Items]    
Total revenues $ 186,676 $ 111,877
Income before taxes 30,325 $ 9,544
Sunshine Fitness    
Business Acquisition [Line Items]    
Total revenues 28,696  
Income before taxes $ 7,329  
v3.22.1
Acquisitions - Schedule of Pro Forma Financial Information (Details) - Sunshine Fitness - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2022
Mar. 31, 2021
Business Acquisition [Line Items]    
Total revenues $ 207,126 $ 148,661
Income before taxes 15,414 9,638
Net income $ 7,163 $ 6,260
v3.22.1
Goodwill and Intangible Assets - Summary of Goodwill and Intangible Assets (Details) - USD ($)
$ in Thousands
Mar. 31, 2022
Dec. 31, 2021
Goodwill And Intangible Assets [Line Items]    
Gross carrying amount $ 495,191 $ 212,191
Accumulated amortization (166,372) (157,854)
Net carrying Amount 328,819 54,337
Total intangible assets, Gross carrying amount 641,791 358,791
Total intangible assets, Net carrying Amount 475,419 200,937
Goodwill, gross carrying amount 696,299 228,569
Goodwill, Accumulated amortization 0 0
Goodwill, net carrying amount 696,299 228,569
Trade and brand names    
Goodwill And Intangible Assets [Line Items]    
Indefinite-lived intangible assets 146,600 146,600
Customer relationships    
Goodwill And Intangible Assets [Line Items]    
Gross carrying amount 199,253 174,033
Accumulated amortization (141,429) (137,699)
Net carrying Amount 57,824 36,334
Reacquired franchise rights    
Goodwill And Intangible Assets [Line Items]    
Gross carrying amount 295,938 38,158
Accumulated amortization (24,943) (20,155)
Net carrying Amount $ 270,995 $ 18,003
v3.22.1
Goodwill and Intangible Assets - Schedule of Rollforward of Goodwill (Details)
$ in Thousands
 3 Months Ended
Mar. 31, 2022
USD ($)
Goodwill [Roll Forward]  
As of December 31, 2021 $ 228,569
Acquisition of franchisee-owned stores 467,730
As of March 31, 2022 696,299
Franchise  
Goodwill [Roll Forward]  
As of December 31, 2021 16,938
Acquisition of franchisee-owned stores 0
As of March 31, 2022 16,938
Corporate-owned stores  
Goodwill [Roll Forward]  
As of December 31, 2021 118,965
Acquisition of franchisee-owned stores 467,730
As of March 31, 2022 586,695
Equipment  
Goodwill [Roll Forward]  
As of December 31, 2021 92,666
Acquisition of franchisee-owned stores 0
As of March 31, 2022 $ 92,666
v3.22.1
Goodwill and Intangible Assets - Additional Information (Details) - USD ($)
 3 Months Ended
Mar. 31, 2022
Mar. 31, 2021
Goodwill and Intangible Assets Disclosure [Abstract]    
Impairment charges $ 0  
Amortization of intangible assets $ 8,528,000 $ 4,159,000
v3.22.1
Goodwill and Intangible Assets - Summary of Amortization expenses (Details) - USD ($)
$ in Thousands
Mar. 31, 2022
Dec. 31, 2021
Goodwill and Intangible Assets Disclosure [Abstract]    
Remainder of 2022 $ 31,992  
2023 50,924  
2024 49,791  
2025 38,484  
2026 33,660  
Thereafter 123,968  
Net carrying Amount $ 328,819 $ 54,337
v3.22.1
Long-Term Debt - Schedule of Long-Term Debt (Details) - USD ($)
$ in Thousands
Mar. 31, 2022
Dec. 31, 2021
Debt Instrument [Line Items]    
Total debt, excluding deferred financing costs $ 2,115,750 $ 1,775,000
Deferred financing costs, net of accumulated amortization (30,467) (17,227)
Total debt 2,085,283 1,757,773
Current portion of long-term debt 20,750 17,500
Current portion of borrowings under Variable Funding Notes 75,000 0
Long-term debt and borrowings under Variable Funding Notes, net of current portion 1,989,533 1,740,273
2018-1 Class A-2-I notes | Senior fixed-rate term notes    
Debt Instrument [Line Items]    
Total debt, excluding deferred financing costs 0 556,312
2018-1 Class A-2-II notes | Senior fixed-rate term notes    
Debt Instrument [Line Items]    
Total debt, excluding deferred financing costs 603,125 604,688
2019-1 Class A-2 notes | Senior fixed-rate term notes    
Debt Instrument [Line Items]    
Total debt, excluding deferred financing costs 537,625 539,000
2022-1 Class A-2-I notes | Senior fixed-rate term notes    
Debt Instrument [Line Items]    
Total debt, excluding deferred financing costs 425,000 0
2022-1 Class A-2-II notes | Senior fixed-rate term notes    
Debt Instrument [Line Items]    
Total debt, excluding deferred financing costs 475,000 0
Borrowings under Variable Funding Notes | Revolving Financing Facility    
Debt Instrument [Line Items]    
Total debt, excluding deferred financing costs $ 75,000 $ 75,000
v3.22.1
Long-Term Debt - Schedule of Future Annual Payments of Long-term Debt (Details) - USD ($)
$ in Thousands
Mar. 31, 2022
Dec. 31, 2021
Debt Disclosure [Abstract]    
Remainder of 2022 $ 15,563  
2023 20,750  
2024 20,750  
2025 600,438  
2026 494,312  
Thereafter 963,937  
Total $ 2,115,750 $ 1,775,000
v3.22.1
Long-Term Debt - Narrative (Details)
 1 Months Ended 3 Months Ended
Feb. 10, 2022
USD ($)
Dec. 03, 2019
USD ($)
Aug. 01, 2018
USD ($)
extension
Sep. 30, 2023
Mar. 31, 2022
USD ($)
Mar. 31, 2021
USD ($)
Debt Instrument [Line Items]            
Proceeds from issuance of Variable Funding Notes         $ 75,000,000 $ 0
Payment of deferred financing and other debt-related costs $ 16,191,000 $ 10,577,000 $ 27,133,000   16,191,000 0
Loss on extinguishment of debt         1,583,000 $ 0
Restricted cash         49,484,000  
2018-1 Class A-2-I notes            
Debt Instrument [Line Items]            
Loss on extinguishment of debt         $ 1,583,000  
2018-1 Class A-2-I notes | Senior fixed-rate term notes            
Debt Instrument [Line Items]            
Fixed interest rate     4.262%      
Principal amount     $ 575,000,000      
2018-1 Class A-2-II notes | Senior fixed-rate term notes            
Debt Instrument [Line Items]            
Fixed interest rate     4.666%      
Principal amount     $ 625,000,000      
Variable funding notes | Revolving Financing Facility            
Debt Instrument [Line Items]            
Maximum borrowing capacity     $ 75,000,000      
2019-1 Class A-2 notes | Senior fixed-rate term notes            
Debt Instrument [Line Items]            
Fixed interest rate   3.858%        
Principal amount   $ 550,000,000        
3.251% Fixed Rate Class A-2-I Senior Secured Notes | Senior fixed-rate term notes            
Debt Instrument [Line Items]            
Fixed interest rate 3.251%          
Principal amount $ 425,000          
4.008% Fixed Rate Class A-2-II Senior Secured Notes | Senior fixed-rate term notes            
Debt Instrument [Line Items]            
Fixed interest rate 4.008%          
Principal amount $ 475,000          
2022 Variable Funding Notes | Revolving Financing Facility            
Debt Instrument [Line Items]            
Maximum borrowing capacity 75,000          
Proceeds from issuance of Variable Funding Notes $ 75,000,000          
Variable rate percentage         245.00%  
Commitment fee percentage     0.50%      
Number of additional extensions | extension     2      
Term of extension (in years)     1 year      
2022 Variable Funding Notes | Revolving Financing Facility | Following the anticipated repayment date            
Debt Instrument [Line Items]            
Line of credit interest rate       5.00%    
Securitized Senior Notes | Securitized Senior Notes            
Debt Instrument [Line Items]            
Cap on non-securitized indebtedness     $ 50,000,000      
Leverage ratio cap     7.0      
v3.22.1
Leases - Balance Sheet Classification of Lease Assets and Liabilities (Details) - USD ($)
$ in Thousands
Mar. 31, 2022
Dec. 31, 2021
Assets    
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] Property and equipment, net of accumulated depreciation of $169,432 and $152,296 as of March 31, 2022 and December 31, 2021, respectively Property and equipment, net of accumulated depreciation of $169,432 and $152,296 as of March 31, 2022 and December 31, 2021, respectively
Operating lease ROU assets $ 353,536 $ 190,330
Finance lease assets 411 222
Total lease assets $ 353,947 $ 190,552
Liabilities    
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List] Other current liabilities Other current liabilities
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] Other liabilities Other liabilities
Current operating lease liabilities $ 42,151 $ 22,523
Noncurrent operating lease liabilities 346,695 197,682
Noncurrent finance lease liabilities 419 230
Total lease liabilities $ 389,265 $ 220,435
Weighted-average remaining lease term (years) - operating leases 8 years 6 months 8 years 8 months 12 days
Weighted-average discount rate - operating leases 4.50% 5.00%
v3.22.1
Leases - Components of Lease Cost (Details) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2022
Mar. 31, 2021
Leases [Abstract]    
Operating lease cost $ 11,595 $ 6,693
Variable lease cost 4,614 2,374
Total lease cost $ 16,209 $ 9,067
v3.22.1
Leases - Supplemental Disclosures of Cash Flow Information (Details) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2022
Mar. 31, 2021
Leases [Abstract]    
Cash paid for lease liabilities $ 10,536 $ 6,577
Operating lease ROU assets obtained in exchange for operating lease liabilities, excluding the Sunshine Acquisition 5,997 4,627
Preliminary Sunshine Acquisition operating lease ROU assets obtained in exchange for operating lease liabilities $ 165,847 $ 0
v3.22.1
Leases - Maturities of Lease Liabilities (Details) - USD ($)
$ in Thousands
Mar. 31, 2022
Dec. 31, 2021
Leases [Abstract]    
Remainder of 2022 $ 43,353  
2023 59,507  
2024 60,002  
2025 58,872  
2026 54,358  
Thereafter 195,899  
Total lease payments 471,991  
Less: imputed interest 82,726  
Present value of lease liabilities $ 389,265 $ 220,435
v3.22.1
Leases - Additional Information (Details)
$ in Thousands
Mar. 31, 2022
USD ($)
Leases [Abstract]  
Lease payments for leases signed but not yet commenced $ 13,205
v3.22.1
Revenue recognition - Schedule of Contract Liabilities (Details)
$ in Thousands
 3 Months Ended
Mar. 31, 2022
USD ($)
Contract liabilities  
Beginning Balance $ 61,779
Revenue recognized that was included in the contract liability at the beginning of the year (14,535)
Other gain on settlement of preexisting contracts in connection with the Sunshine Acquisition (2,059)
Deferred revenue acquired in the Sunshine Acquisition 19,638
Increase, excluding amounts recognized or acquired in the Sunshine Acquisition during the period 31,962
Ending Balance $ 96,785
v3.22.1
Revenue recognition - Remaining Performance Obligation (Details)
$ in Thousands
Mar. 31, 2022
USD ($)
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]  
Remaining performance obligation $ 96,785
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-04-01  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]  
Remaining performance obligation $ 60,610
Remaining performance obligation, expected timing of satisfaction 9 months
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-01-01  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]  
Remaining performance obligation $ 8,010
Remaining performance obligation, expected timing of satisfaction 1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-01-01  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]  
Remaining performance obligation $ 3,789
Remaining performance obligation, expected timing of satisfaction 1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-01-01  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]  
Remaining performance obligation $ 3,395
Remaining performance obligation, expected timing of satisfaction 1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2026-01-01  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]  
Remaining performance obligation $ 2,995
Remaining performance obligation, expected timing of satisfaction 1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2027-01-01  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]  
Remaining performance obligation $ 17,986
Remaining performance obligation, expected timing of satisfaction
v3.22.1
Revenue recognition - Narrative (Details) - USD ($)
$ in Thousands
Mar. 31, 2022
Dec. 31, 2021
Revenue from Contract with Customer [Abstract]    
Equipment deposits $ 12,966 $ 6,036
v3.22.1
Related Party Transactions - Schedule of Related Party Transactions (Details) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2022
Mar. 31, 2021
Related Party Transaction [Line Items]    
Total revenue from related parties $ 275 $ 761
Franchise revenue    
Related Party Transaction [Line Items]    
Total revenue from related parties 264 761
Equipment revenue    
Related Party Transaction [Line Items]    
Total revenue from related parties $ 11 $ 0
v3.22.1
Related Party Transactions - Additional Information (Details) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2022
Mar. 31, 2021
Dec. 31, 2021
Related Party Transaction [Line Items]      
Liability payable under tax benefit obligations $ 83,989   $ 84,595
Administrative fees charged 275 $ 761  
Planet Fitness NAF, LLC | Administrative Service      
Related Party Transaction [Line Items]      
Administrative fees charged 684 499  
Reacquired area development rights      
Related Party Transaction [Line Items]      
Deferred area development revenue from related parties 153   $ 164
Corporate Travel | Affiliated Entity      
Related Party Transaction [Line Items]      
Expense incurred for corporate travel to a third-party company $ 106 $ 0  
v3.22.1
Stockholders' Equity (Details) - shares
 3 Months Ended
Feb. 10, 2022
Mar. 31, 2022
Dec. 31, 2021
Class of Stock [Line Items]      
Preferred stock, shares authorized (in shares)   50,000,000 50,000,000
Preferred stock, shares issued (in shares)   0 0
Preferred stock, shares outstanding (in shares)   0 0
Pla-Fit Holdings, LLC      
Class of Stock [Line Items]      
Number of shares exchanged (in shares)   548,175  
Holdings Units      
Class of Stock [Line Items]      
Number of shares exchanged (in shares)   548,175  
Investor | Secondary Offering and Exchange      
Class of Stock [Line Items]      
Number of units held by owners (in shares)   84,906,980  
Investor | Pla-Fit Holdings, LLC | Secondary Offering and Exchange      
Class of Stock [Line Items]      
Percentage of economic interest   93.30%  
Continuing LLC Owners | Secondary Offering and Exchange      
Class of Stock [Line Items]      
Number of units held by owners (in shares)   6,145,722  
Continuing LLC Owners | Pla-Fit Holdings, LLC | Secondary Offering and Exchange      
Class of Stock [Line Items]      
Percentage of economic interest   6.70%  
Holdings Units      
Class of Stock [Line Items]      
Shares exchanged for Class A common stock (in shares)   1  
Holdings Units | Sunshine Fitness      
Class of Stock [Line Items]      
Equity consideration (in shares) 3,637,678    
Class A Common Stock      
Class of Stock [Line Items]      
Number of shares exchanged (in shares)   548,175  
Class A Common Stock | Investor | Secondary Offering and Exchange      
Class of Stock [Line Items]      
Number of units held by owners (in shares)   84,906,980  
Class A Common Stock | Investor | Pla-Fit Holdings, LLC | Secondary Offering and Exchange | Common Stockholders      
Class of Stock [Line Items]      
Percentage of voting power   93.30%  
Class A Common Stock | Sunshine Fitness      
Class of Stock [Line Items]      
Equity consideration (in shares) 517,348    
Class B Common Stock      
Class of Stock [Line Items]      
Shares exchanged for Class A common stock (in shares)   1  
Number of shares exchanged (in shares)   548,175  
Class B Common Stock | Continuing LLC Owners | Secondary Offering and Exchange      
Class of Stock [Line Items]      
Number of units held by owners (in shares)   6,145,722  
Class B Common Stock | Continuing LLC Owners | Pla-Fit Holdings, LLC | Secondary Offering and Exchange | Continuing LLC Owners      
Class of Stock [Line Items]      
Percentage of voting power   6.70%  
v3.22.1
Earnings Per Share - Additional Information (Details) - shares
 3 Months Ended
Mar. 31, 2022
Mar. 31, 2021
Holdings Units    
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items]    
Shares exchanged for Class A common stock (in shares) 1  
Class B Common Stock    
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items]    
Shares exchanged for Class A common stock (in shares) 1  
Class B Common Stock | Stock Options    
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items]    
Anti-dilutive securities excluded from computation of earnings per share (in shares) 198,203 44,258
Class B Common Stock | Restricted Stock Units    
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items]    
Anti-dilutive securities excluded from computation of earnings per share (in shares) 43,969 0
Class B Common Stock | Equity Unit Purchase Agreements    
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items]    
Anti-dilutive securities excluded from computation of earnings per share (in shares) 5,016,837 3,471,842
v3.22.1
Earnings Per Share - Reconciliation of Numerators and Denominators Used to Compute Basic and Diluted Earnings per Share (Details) - USD ($)
$ / shares in Units, $ in Thousands
 3 Months Ended
Mar. 31, 2022
Mar. 31, 2021
Numerator    
Net income $ 18,376 $ 6,190
Less: net income attributable to non-controlling interests 1,912 609
Net income attributable to Planet Fitness, Inc. $ 16,464 $ 5,581
Stock Options    
Effect of dilutive securities:    
Weighted-average shares outstanding adjustment (in shares) 386,486 563,928
Restricted Stock Units    
Effect of dilutive securities:    
Weighted-average shares outstanding adjustment (in shares) 82,670 59,190
Class A Common Stock    
Denominator    
Weighted-average shares of Class A common stock outstanding - basic (in shares) 84,166,027 83,084,096
Effect of dilutive securities:    
Weighted-average shares of Class A common stock outstanding - diluted (in shares) 84,635,183 83,707,214
Earnings per share of Class A common stock - basic (in usd per share) $ 0.20 $ 0.07
Earnings per share of Class A common stock - diluted (in usd per share) $ 0.19 $ 0.07
v3.22.1
Income Taxes - Additional information (Details)
$ in Thousands
 3 Months Ended
Mar. 31, 2022
USD ($)
agreement
shares
Mar. 31, 2021
Dec. 31, 2021
USD ($)
Tax Credit Carryforward [Line Items]      
Effective income tax rate 38.60% 35.10%  
Net deferred tax assets $ 492,924   $ 539,264
Total liability related to uncertain tax positions $ 420   420
Number of tax receivable agreements | agreement 2    
Percentage of remaining tax savings 15.00%    
Tax benefit obligation $ 524,318   $ 528,107
Gain recognized on tax benefit obligation $ 3,788    
Class A Common Stock      
Tax Credit Carryforward [Line Items]      
Number of shares exchanged (in shares) | shares 548,175    
TRA Holders      
Tax Credit Carryforward [Line Items]      
Applicable tax savings (in percentage) 85.00%    
Decrease in deferred tax assets $ 1,365    
Deferred tax asset $ 16,170    
TRA Holders | Class A Common Stock      
Tax Credit Carryforward [Line Items]      
Number of shares exchanged (in shares) | shares 548,175    
v3.22.1
Income Taxes - Schedule of Future Payments Under Tax Benefit Arrangements (Details) - USD ($)
$ in Thousands
Mar. 31, 2022
Dec. 31, 2021
Income Tax Disclosure [Abstract]    
Remainder of 2022 $ 20,302  
2023 34,406  
2024 45,028  
2025 54,967  
2026 55,299  
Thereafter 314,316  
Total $ 524,318 $ 528,107
v3.22.1
Commitments and contingencies - Additional Information (Details) - Pending Litigation - Civil Action Brought By Former Employee
$ in Thousands
Mar. 31, 2022
USD ($)
Loss Contingencies [Line Items]  
Estimate of possible loss $ 2,225
Loss contingency, receivable $ 2,225
v3.22.1
Segments - Additional Information (Details)
 3 Months Ended
Mar. 31, 2022
USD ($)
segment
Mar. 31, 2021
USD ($)
Dec. 31, 2021
USD ($)
Segment Reporting Information [Line Items]      
Number of reportable segments | segment 3    
Number of operating segments | segment 0    
Revenue $ 186,676,000 $ 111,877,000  
Franchise revenue      
Segment Reporting Information [Line Items]      
Revenue 80,084,000 64,061,000  
Franchise revenue | Placement Services      
Segment Reporting Information [Line Items]      
Revenue 2,339,000 779,000  
Corporate-owned stores      
Segment Reporting Information [Line Items]      
Revenue 76,157,000 $ 37,877,000  
Corporate-owned stores | International corporate-owned stores      
Segment Reporting Information [Line Items]      
Long-lived assets 1,170,000   $ 1,203,000
Intersegment Eliminations      
Segment Reporting Information [Line Items]      
Revenue $ 0    
v3.22.1
Segments - Summary of Financial Information for the Company's Reportable Segments (Details) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2022
Mar. 31, 2021
Segment Reporting Information [Line Items]    
Revenue $ 186,676 $ 111,877
Total Segment EBITDA 78,192 45,045
Corporate and other    
Segment Reporting Information [Line Items]    
Total Segment EBITDA (13,931) (8,656)
Franchise revenue    
Segment Reporting Information [Line Items]    
Revenue 80,084 64,061
Franchise revenue | Operating Segments    
Segment Reporting Information [Line Items]    
Total Segment EBITDA 60,106 41,180
Franchise revenue | US    
Segment Reporting Information [Line Items]    
Revenue 78,434 63,344
Franchise revenue | International    
Segment Reporting Information [Line Items]    
Revenue 1,650 717
Corporate-owned stores    
Segment Reporting Information [Line Items]    
Revenue 76,157 37,877
Corporate-owned stores | Operating Segments    
Segment Reporting Information [Line Items]    
Total Segment EBITDA 23,364 10,691
Corporate-owned stores | US    
Segment Reporting Information [Line Items]    
Revenue 75,401 37,800
Corporate-owned stores | International    
Segment Reporting Information [Line Items]    
Revenue 756 77
Equipment revenue    
Segment Reporting Information [Line Items]    
Revenue 30,435 9,939
Equipment revenue | Operating Segments    
Segment Reporting Information [Line Items]    
Total Segment EBITDA 8,653 1,830
Equipment revenue | US    
Segment Reporting Information [Line Items]    
Revenue 29,790 9,939
Equipment revenue | International    
Segment Reporting Information [Line Items]    
Revenue $ 645 $ 0
v3.22.1
Segments - Reconciliation of Total Segment EBITDA to (Loss) Income Before Taxes (Details) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2022
Mar. 31, 2021
Segment Reporting [Abstract]    
Total Segment EBITDA $ 78,192 $ 45,045
Depreciation and amortization 25,683 15,474
Other income 4,090 165
Equity earnings (losses) of unconsolidated entities, net of tax (238) 0
Income from operations 48,657 29,406
Interest income 209 217
Interest expense (22,631) (20,244)
Income before income taxes $ 30,325 $ 9,544
v3.22.1
Segments - Summary of Company's Assets by Reportable Segment (Details) - USD ($)
$ in Thousands
Mar. 31, 2022
Dec. 31, 2021
Segment Reporting, Asset Reconciling Item [Line Items]    
Total consolidated assets $ 2,992,402 $ 2,015,983
Operating Segments | Franchise revenue    
Segment Reporting, Asset Reconciling Item [Line Items]    
Total consolidated assets 199,525 172,822
Operating Segments | Corporate-owned stores    
Segment Reporting, Asset Reconciling Item [Line Items]    
Total consolidated assets 1,617,591 516,714
Operating Segments | Equipment revenue    
Segment Reporting, Asset Reconciling Item [Line Items]    
Total consolidated assets 182,701 193,983
Unallocated    
Segment Reporting, Asset Reconciling Item [Line Items]    
Total consolidated assets $ 992,585 $ 1,132,464
v3.22.1
Segments - Summary of Company's Goodwill by Reportable Segment (Details) - USD ($)
$ in Thousands
Mar. 31, 2022
Dec. 31, 2021
Segment Reporting, Other Significant Reconciling Item [Line Items]    
Consolidated goodwill $ 696,299 $ 228,569
Franchise revenue    
Segment Reporting, Other Significant Reconciling Item [Line Items]    
Consolidated goodwill 16,938 16,938
Corporate-owned stores    
Segment Reporting, Other Significant Reconciling Item [Line Items]    
Consolidated goodwill 586,695 118,965
Equipment revenue    
Segment Reporting, Other Significant Reconciling Item [Line Items]    
Consolidated goodwill $ 92,666 $ 92,666
v3.22.1
Corporate-Owned and Franchisee-Owned Stores - Schedule of Changes in Corporate-owned and Franchisee-owned Stores (Details) - store
 3 Months Ended
Mar. 31, 2022
Mar. 31, 2021
Number Of Stores [Roll Forward]    
Stores operated at beginning of period 2,254 2,124
New stores opened 37 22
Stores acquired, debranded, sold or consolidated 0 0
Stores operated at end of period 2,291 2,146
Franchisee-Owned Stores    
Number Of Stores [Roll Forward]    
Stores operated at beginning of period 2,142 2,021
New stores opened 34 22
Stores acquired, debranded, sold or consolidated (114) 0
Stores operated at end of period 2,062 2,043
Corporate-Owned Stores    
Number Of Stores [Roll Forward]    
Stores operated at beginning of period 112 103
New stores opened 3 0
Stores acquired from franchisees 114 0
Stores operated at end of period 229 103
v3.22.1
Subsequent events (Details)
$ in Thousands
May 09, 2022
USD ($)
Subsequent Event | Revolving Financing Facility | 2022 Variable Funding Notes  
Subsequent Event [Line Items]  
Repayments of borrowings $ 75,000