Why Planet Fitness (PLNT) Shares Are Tumbling Today - Planet Fitness (NYSE:PLNT)

Planet Fitness Inc PLNT shares are falling sharply Thursday morning on missing Street predictions.
PLNT reported Q1 2023 sales growth of 19.0% Y/Y to $222.2 million, missing the consensus of $238.3 million.
System-wide same-store sales increased 9.9% Y/Y.
Revenue from the Franchise segment rose 15.7% Y/Y to $92.7 million, the Corporate-owned stores climbed 39.0% Y/Y to $105.9 million, and Equipment declined 22.3% Y/Y to $23.7 million.
Total operating costs and expenses rose to $170.1 million from $138.0 million a year ago.
Adjusted EBITDA rose to $90.2 million from $76.7 million in the prior year.
Adjusted EPS of $0.41 missed the consensus of $0.46.
The company held $460.4 million in cash and equivalents as of March 31, 2023.
Repurchase: The company repurchased shares worth around $25 million in Q1 and additional $25 million in Q2 2023.
2023 Outlook Reaffirmed: Planet Fitness expects growth of revenues in the 13% to 14% range, adjusted EBITDA of 17% to 18% and adjusted EPS of 33% to 36%.
The company expects system-wide same-store sales in the high single-digits percentage range. Planet Fitness expects capital expenditures to increase to the mid-30% range in the year.
Price Action: PLNT shares are trading lower by 13.51% at $70.54 on the last check Thursday.
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Why Planet Fitness Shares Are Tumbling Today