Planet Fitness (PLNT) การแถลงผลประกอบการไตรมาส 3 ปี 2026: ปรับเพิ่มคาดการณ์ผลประกอบการ ขยายธุรกิจสู่โปรตุเกส และซื้อหุ้นคืน 500 ล้านดอลลาร์

ประเด็นสำคัญ

• Planet Fitness รายงานการเติบโตของยอดขายสาขาเดิมทั่วทั้งระบบในไตรมาส 3/2026 ที่ 1.5% โดยมีจำนวนสมาชิกประมาณ 21.5 ล้านราย และมีอัตราการยกเลิกสมาชิกเฉลี่ยต่อเดือนอยู่ที่ 3.6%
• รายได้เพิ่มขึ้น 9% เมื่อเทียบเป็นรายปี สู่ระดับ 360 ล้านดอลลาร์ ขณะที่ Adjusted EBITDA เพิ่มขึ้น 3.9% แตะ 146.2 ล้านดอลลาร์ ส่วนอัตรากำไร Adjusted EBITDA ลดลงเหลือ 40.6% จาก 42.6% โดยมีสาเหตุหลักมาจากอัตราเงินสมทบเข้ากองทุนโฆษณาระดับประเทศที่สูงขึ้น
• อัตราการเข้าถึงบัตร Black Card เพิ่มขึ้น 160 basis points สู่ระดับประมาณ 68% โดยฝ่ายบริหารวางแผนปรับขึ้นราคาบัตร Black Card แบบเจาะจงตามภูมิภาคในไตรมาส 2/2027 ขณะที่ยังคงราคาบัตร Classic Card มาตรฐานไว้ที่ 15 ดอลลาร์
• บริษัทได้ปรับเพิ่มแนวโน้มผลประกอบการปี 2026 เป็นการเติบโตของรายได้ประมาณ 8% และการเติบโตของ Adjusted EBITDA ที่ 6.5% โดยปัจจุบันคาดว่ายอดขายสาขาเดิมทั่วทั้งระบบจะเพิ่มขึ้น 1.5% ถึง 2%
• Planet Fitness เข้าซื้อกิจการ Be-Fit ในโปรตุเกสด้วยมูลค่าประมาณ 102.5 ล้านยูโร ซึ่งเพิ่มสาขาอีก 25 แห่งและสมาชิกราว 80,000 ราย โดยฝ่ายบริหารคาดว่าการเข้าซื้อกิจการดังกล่าวจะช่วยหนุนกำไรในปี 2027
• คณะกรรมการบริษัทมีมติอนุมัติโครงการซื้อหุ้นคืนใหม่มูลค่าสูงสุด 500 ล้านดอลลาร์ นอกจากนี้ Planet Fitness ยังอยู่ระหว่างพิจารณาความเป็นไปได้ในการขายสาขาที่บริษัทเป็นเจ้าของในสหรัฐฯ ให้แก่แฟรนไชส์ซี

ข้อมูลทางการเงินที่สำคัญ

รายได้ของกลุ่มธุรกิจแฟรนไชส์เพิ่มขึ้น 14% ซึ่งส่วนหนึ่งสะท้อนถึงการปรับเพิ่มเงินสมทบกองทุนโฆษณาระดับประเทศจาก 2% เป็น 3% สำหรับปี 2026 โดยอัตราดังกล่าวมีกำหนดจะกลับสู่ระดับ 2% ในปี 2027 ขณะที่ Adjusted EBITDA ของกลุ่มธุรกิจแฟรนไชส์อยู่ที่ 86.8 ล้านดอลลาร์ โดยมีอัตรากำไรลดลงเหลือ 67% จาก 72.5% ทั้งนี้ หากไม่รวมการเปลี่ยนแปลงของเงินสมทบโฆษณา อัตรากำไรจะทรงตัวเมื่อเทียบรายปี

Adjusted EBITDA ของสาขาที่บริษัทเป็นเจ้าของอยู่ที่ 53.5 ล้านดอลลาร์ โดยมีอัตรากำไรลดลงเหลือ 37.5% จาก 39% ขณะที่ Adjusted EBITDA ของกลุ่มอุปกรณ์อยู่ที่ 25.5 ล้านดอลลาร์ โดยมีอัตรากำไร 29.2% เทียบกับ 30.1% ในปีก่อนหน้า

ผลการดำเนินงานทางธุรกิจและการปฏิบัติการ

ราคาค่าบริการเป็นปัจจัยขับเคลื่อนหลักของการเติบโตของยอดขายสาขาเดิมในไตรมาส 3 โดยได้รับแรงหนุนจากอัตราการเข้าถึงบัตร Black Card ที่สูงขึ้น ขณะที่โปรโมชันบัตร Classic Card ราคา 10 ดอลลาร์เป็นเวลาสองสัปดาห์ช่วยเพิ่มการสมัครสมาชิกใหม่ แต่ไม่ได้สร้างรายได้ส่วนเพิ่มมากพอที่จะช่วยหนุนภาพรวมทั่วทั้งระบบ ทั้งนี้ ฝ่ายบริหารระบุว่าโปรโมชันดังกล่าวยังอาจมีประโยชน์สำหรับบางตลาดหรือโปรโมชันช่วงก่อนเปิดสาขา

Planet Fitness วางแผนจะเริ่มปรับขึ้นราคาบัตร Black Card แบบเจาะจงตามภูมิภาคในไตรมาส 2/2027 โดยกลยุทธ์ดังกล่าวจะใช้ข้อมูลความยืดหยุ่นของราคาในระดับตลาด แทนที่จะเป็นการปรับขึ้นเท่ากันทั่วประเทศ ขณะที่ฝ่ายบริหารระบุว่าราคาบัตร Classic Card มาตรฐานจะยังคงอยู่ที่ 15 ดอลลาร์

โครงการรักษาฐานสมาชิกมุ่งเน้นไปที่ช่วง 100 วันแรก ซึ่งในทางสถิติมีอัตราการยกเลิกสมาชิกสูงกว่าช่วงอื่น โดยบริษัทผสานคำแนะนำภายในสาขาเข้ากับการสื่อสารเฉพาะบุคคลผ่านแอปพลิเคชันตามเป้าหมายและพฤติกรรมของสมาชิก นอกจากนี้ ยังมีการปรับปรุงรูปแบบกลุ่มย่อย PE@PF และพัฒนาอีเวนต์ Signature ประจำท้องถิ่นเพื่อส่งเสริมการมีส่วนร่วมและความเป็นชุมชน

ฝ่ายบริหารเปิดเผยว่า ราวครึ่งหนึ่งของสาขาในสหรัฐฯ ได้นำรูปแบบ Bridge Club เต็มรูปแบบมาใช้ ซึ่งมีสัดส่วนของอุปกรณ์ฝึกความแข็งแรงและคาร์ดิโอที่สมดุลยิ่งขึ้น โดยบริษัทระบุว่าสาขาที่ใช้รูปแบบนี้มีจำนวนการสมัครสมาชิกใหม่ การรักษาฐานสมาชิก และคะแนนความพึงพอใจของลูกค้าที่แข็งแกร่งขึ้น

Planet Fitness คาดว่าจะมีสาขาราว 500 แห่งที่ให้บริการ Red Light Sauna ภายในสิ้นปี 2026 พร้อมแผนขยายเพิ่มเติมในปี 2027 ขณะเดียวกันยังอยู่ระหว่างการทดสอบบริการฟื้นฟูร่างกายเพิ่มเติมอีก 4 รูปแบบในสาขา 100 แห่ง

การเข้าซื้อกิจการ Be-Fit ช่วยให้บริษัทมีแพลตฟอร์มในโปรตุเกสได้ในทันทีผ่านสาขา 25 แห่งและสมาชิกราว 80,000 ราย โดย Planet Fitness ได้จ่ายเงินสดประมาณ 100 ล้านยูโร ณ วันปิดดีล พร้อมค่าตอบแทนที่อาจเกิดขึ้นในอนาคตสูงสุด 2.5 ล้านยูโร ซึ่งได้รับเงินทุนทั้งหมดจากเงินสดในมือ ทั้งนี้ ฝ่ายบริหารเล็งเห็นศักยภาพในการเพิ่มจำนวนสาขาของบริษัทเป็นสองเท่าทั่วคาบสมุทรไอบีเรียในอีก 3 ถึง 5 ปีข้างหน้า และมีแผนระยะยาวที่จะเปลี่ยนสาขาในโปรตุเกสกลับไปเป็นระบบแฟรนไชส์

แนวทางของผู้บริหาร

แนวโน้มดังกล่าวไม่รวมผลกระทบที่อาจเกิดขึ้นจากการขายสาขาที่บริษัทเป็นเจ้าของ ทั้งนี้ ฝ่ายบริหารระบุว่าการเปิดสาขาแฟรนไชส์ในปี 2027 อาจใกล้เคียงกับระดับพื้นฐานของปี 2026 หากไม่รวมโปรตุเกส แต่ระบุว่าการคาดการณ์อย่างเป็นทางการสำหรับปี 2027 จะมีการประกาศในเดือนกุมภาพันธ์

ความเสี่ยงและประเด็นที่ต้องจับตามอง

• การพัฒนาสาขาในประเทศมีความคืบหน้าช้าลงเนื่องจากภาวะตึงตัวในตลาดอสังหาริมทรัพย์ โดยฝ่ายบริหารระบุว่าการปรับลดเป้าหมายการเปิดสาขาแฟรนไชส์พื้นฐานมีสาเหตุหลักมาจากเรื่องจังหวะเวลาและความพร้อมของพื้นที่
• โปรโมชัน 10 ดอลลาร์ให้ผลลัพธ์ในแต่ละภูมิภาคที่ไม่เท่ากัน และไม่ช่วยหนุนรายได้ทั่วทั้งระบบ ซึ่งสะท้อนถึงความแตกต่างของความยืดหยุ่นของราคาและสภาวะการแข่งขันในแต่ละท้องถิ่น
• อัตรากำไร Adjusted EBITDA ปรับตัวลดลงเนื่องจากการเพิ่มขึ้นชั่วคราวของเงินสมทบกองทุนโฆษณาระดับประเทศ นอกจากนี้ อัตรากำไรของสาขาของบริษัทและกลุ่มอุปกรณ์ยังลดลงเมื่อเทียบรายปีเช่นกัน
• กำไรสุทธิที่ปรับปรุงแล้วปรับตัวลดลง เนื่องจากค่าเสื่อมราคา ค่าตัดจำหน่าย และค่าใช้จ่ายดอกเบี้ยที่สูงขึ้น ได้หักล้างการเติบโตจากการดำเนินงาน
• อัตราการยกเลิกสมาชิกจะสูงกว่าในช่วง 100 วันแรกของการเป็นสมาชิก และในกลุ่มสมาชิกอายุ 18 ถึง 22 ปี ส่งผลให้การสร้างการมีส่วนร่วมในระยะแรกกลายเป็นภารกิจสำคัญอันดับแรกในการดำเนินงาน
• แผนการเปลี่ยนสาขาของบริษัทในประเทศกลับไปเป็นระบบแฟรนไชส์ยังคงอยู่ในขั้นเริ่มต้น โดยยังไม่มีการระบุมูลค่าธุรกรรมหรือกรอบเวลาที่แน่ชัด

ไฮไลท์ช่วงถาม-ตอบกับนักวิเคราะห์

AI และการรักษาฐานสมาชิก: Planet Fitness กำลังใช้โมเดลคาดการณ์การยกเลิกสมาชิกด้วย AI เพื่อระบุสมาชิกที่มีแนวโน้มจะยกเลิกบริการสูง โดยฝ่ายบริหารระบุว่าระยะถัดไปจะใช้ action engine เพื่อนำเสนอข้อเสนอจูงใจให้คงสถานะสมาชิก นอกจากนี้ AI และแมชชีนเลิร์นนิงยังช่วยสนับสนุนการกำหนดกลุ่มเป้าหมาย การมองเห็นในการค้นหา และการวิเคราะห์ราคาตามภูมิภาคอีกด้วย

การกำหนดราคาตามภูมิภาค: ฝ่ายบริหารระบุว่าการทดสอบราคา 10 ดอลลาร์เป็นส่วนหนึ่งของแผนงานด้านราคาที่ครอบคลุมมากขึ้นซึ่งดำเนินการตลอดทั้งปี โดยข้อมูลที่รวบรวมได้สนับสนุนการปรับขึ้นราคาบัตร Black Card ตามภูมิภาค มากกว่าการปรับเปลี่ยนราคาทั่วประเทศ

การทบทวนสาขาของบริษัท: Planet Fitness มีสาขาที่บริษัทเป็นเจ้าของประมาณ 280 แห่งในสหรัฐฯ และต้องการรักษาสัดส่วนการเป็นเจ้าของของบริษัทให้อยู่ต่ำกว่า 10% ของทั้งระบบ ซึ่งการขายสาขาที่อาจเกิดขึ้นให้แก่แฟรนไชส์ซีรายใหม่หรือรายเดิมอาจช่วยสนับสนุนการเติบโตในประเทศ การลงทุนในต่างประเทศ และการซื้อหุ้นคืนเพิ่มเติม

การคืนผลตอบแทนแก่ผู้ถือหุ้น: บริษัทได้ซื้อหุ้นคืนจำนวน 1 ล้านหุ้น คิดเป็นมูลค่า 50 ล้านดอลลาร์ในไตรมาส 3 ที่ราคาเฉลี่ย 48.63 ดอลลาร์ และนับตั้งแต่ต้นปีจนถึงปัจจุบัน บริษัทได้ซื้อหุ้นคืนไปแล้ว 6.4 ล้านหุ้น เป็นมูลค่า 300 ล้านดอลลาร์ ที่ราคาเฉลี่ย 47.16 ดอลลาร์ โดยฝ่ายบริหารระบุว่าการซื้อหุ้นคืนเป็นเป้าหมายหลักในการจัดสรรเงินทุนระยะใกล้

แนวโน้มด้านการตลาด: บริษัทวางแผนเปิดตัวแคมเปญใหม่ในช่วงปลายเดือนธันวาคมก่อนเข้าสู่ช่วงปีใหม่ โดยนำ dynamic creative optimization, การตลาดดิจิทัลและอินฟลูเอนเซอร์ รวมถึง media mix modeling มาใช้เพื่อเพิ่มประสิทธิภาพการเข้าถึงกลุ่มเป้าหมายและวัดผลตอบแทนแยกตามช่องทาง

บันทึกการประชุมแถลงผลประกอบการฉบับเต็ม

บทถอดเสียงฉบับเต็มของการประชุมทางโทรศัพท์ผลประกอบการ

คำชี้แจงจากฝ่ายบริหาร

Operator

Good morning, and thank you for joining today's Planet Fitness Third Quarter Earnings Conference Call. [Operator Instructions] I would now like to hand the call over to [ Michael Oriolo ], VP of Investor Relations for opening remarks. Please go ahead.

Unknown Executive

Thank you, operator, and good morning, everyone. Speaking on today's call will be Planet Fitness Chief Executive Officer, Colleen Keating; and Chief Financial Officer and President, International, Sudhanshu Priyadarshi. They will be available for questions during the Q&A session following the prepared remarks. Today's call is being webcast live and recorded for replay.

Before I turn the call over to Colleen, I'd like to remind everyone that the language on forward-looking statements included in our earnings release also applies to our comments made during this call. Our release can be found on our investor website along with any reconciliation of non-GAAP financial measures mentioned on the call with their corresponding GAAP measures.

Now I will turn the call over to Colleen.

Colleen Keating

Thank you, Michael, and thank you, everyone, for joining us for the Planet Fitness Third Quarter Earnings Call. As you just heard, we're excited to welcome our new Vice President of Investor Relations, [ Michael Oriolo ] to the Planet Fitness team. Michael brings more than 15 years of experience across investor relations, corporate strategy, financial planning and analysis and public equity investing in both the consumer and restaurant industries. Sudhanshu and I will be working closely with Michael, and I know he looks forward to meeting our analysts and investors as he settles into the role.

Turning to our results. We delivered same club sales growth ahead of our expectations adjusted EBITDA margins of approximately 41%, and we continue to make progress on our strategic priorities. We drove system-wide same club sales growth of 1.5% and finished the quarter with approximately 21.5 million members, consistent with the end of the second quarter and up approximately 4% year-over-year. Our average monthly attrition rate was 3.6% for the quarter, broadly consistent with historical range and recent trends. Adjusted EBITDA increased 3.9% compared with Q3 2025, and we opened 33 new clubs. We also saw encouraging early traction on our strategies to drive accretive net member growth and strengthen the foundation for 2027.

Let's start with member growth, where we are activating strategies to both drive acquisition and increase retention. Our objective is clear: to reach the roughly 70% of the U.S. population not currently paying for fitness and convey why our welcoming, nonintimidating and differentiated environment is the right choice for them to meet their fitness goals. In late August, we launched our Interim Creative that takes a light-hearted approach to demonstrating that at Planet Fitness getting fit doesn't have to be a whole big thing. You don't need to train before joining. Our judgment-free environment welcome you as you are and support you as you take your next step towards progress. Focus group feedback indicates that this approach is resonating more strongly with our target demographic. These learnings are informing our next campaign which we expect to launch in late December, ahead of the New Year season.

Alongside this evolution in our creative approach, we are also refreshing how the Planet Fitness brand comes to life across the member experience, including our brand identity. Our goal is to ensure that our evolved visual identity continues to reflect our welcoming and supportive ethos while also allowing for a more seamless and flexible presentation of the brand across traditional marketing formats and digital channels. The refreshed identity informed by member feedback builds on the enhancements we have made across the member experience in line with consumer trends and preferences. All new clubs and remodels will now feature the full suite of new branding, while existing clubs will incorporate a collection of elements designed to seamlessly integrate with the current branding over the next several months.

In parallel, the rolling launch of our dynamic creative optimization engine began in September, strengthening our ability to optimize our media by dynamically tailoring our messaging to our target audiences. We will continue to monitor and launch additional channels for the remainder of this year and into 2027. Together, these marketing advances are helping us connect with members and prospective members more effectively from acquisition, through retention.

Building on that momentum at our September franchisee conference, we introduced a 3-part member engagement strategy designed to deepen connections with our members and improve retention. This strategy is comprised of the First 100 Days, Signature Events and a reimagined PE@PF. Our data shows that the first 100 days of membership are a critical period for retention. In our clubs, we are combining personal guidance, education and structure to reduce uncertainty and help members build confidence faster. Beyond the club, we are leaning into personalized communication based on our members' goals and behaviors. For example, if a new member tells us in their profile that they want to build endurance by visiting the club 3 times a week and then begins to visit less frequently, we can send a supportive message through the app or recommend recovery options in the Black Card Spa. The goal is a seamless first 100 days experience in which every digital interaction extends and reinforces the support members receive in the club.

Beyond those critical first 100 days, we are creating more opportunities for members to connect with one another and build a lasting sense of belonging. We know how powerful rituals can be, so we're bringing them back in new, relevant ways. When people come together around a shared experience, it builds community and a sense of belonging. Our Signature Event strategy provides clubs with a consistent framework while allowing them to create authentic locally relevant experiences to continue to foster these core efforts of our brand.

That same focus on connection and belonging also extends to how we support members on the club floor. We're piloting new class formats as part of the PE@PF Refresh with a broader rollout plan for the first quarter of 2027. The program is designed to help members find support, stay engaged as healthy habits take hold and feel that they belong. Ultimately, retention is about helping more members succeed on their fitness journeys. We believe these strategies will contribute and be effective in driving member growth and retention going forward.

Now on to our pricing architecture. Our philosophy is to maintain our HVLP leadership position with a sustainable flywheel to drive member growth while also enhancing franchisee profitability. During the quarter, we executed a number of tests to evaluate our optimum architecture. Specifically, we launched a limited time $10 Classic Card Promotion to reinforce affordability, assess regional performance and inform our pricing strategy. The promotion drove a meaningful increase in joins with several markets delivering incremental revenue. While results varied by region, it gives us visibility into regional nuances. Our tests have provided us valuable insights around our pricing strategy, and we now plan to introduce highly targeted regional Black Card price increases in the second quarter of 2027. This decision aligns with our commitment to value and is supported by the modernization of the Black Card Spa with a greater focus on recovery, advancing our goal of making recovery more accessible and affordable.

By 2026 year-end, we expect approximately 500 clubs to offer Red Light Saunas, with further club penetration in 2027. For context, a 40-minute session with an infrared sauna and red light recovery at a dedicated recovery center could cost at least $60 for a single purchased session, and our Black Card members will have access to this through their monthly membership at no additional charge. We will share additional details as we finalize the Black Card pricing strategy, guided by our commitment to balancing affordability and member value.

Our success and that of our franchisees are inextricably linked. We remain steadfastly focused on our franchisee profitability which is driven by accelerating revenue growth to improve globe level performance. Against that backdrop, we continue to work closely with our franchisees to build confidence in the initiatives designed to accelerate member growth. We appreciate that our domestic franchisees want to see greater traction from our efforts to reinvigorate member acquisition and reinforce affordability. We made meaningful progress towards achieving these priorities during the quarter and built a strong foundation for future improvement.

Lastly, turning to development and our growth outlook. On the international front, consistent with our disciplined strategy of entering 1 to 2 new markets a year, we recently acquired Be-Fit in Portugal. Be-Fit's portfolio includes 25 clubs and approximately 80,000 members, creating an immediate national platform. The clubs are a strong fit for Planet Fitness, large, high-value, low-priced gyms with ample parking and capacity for additional members. The portfolio is profitable, with the mature clubs generating strong EBITDA margins, and we see potential upside as we convert these units to the Planet Fitness brand and implement our best practices. The transaction gives us a profitable entry into a priority European market, complements our growing Spain business and provides a faster, more attractive path to scale than a greenfield entry. Similar to Spain, our long-term plan is to refranchise the Portugal clubs.

This acquisition also fits squarely within our capital allocation strategy. We are a cash-generative business, and we put that cash to work in 3 primary ways: repurchasing our shares, investing strategically in the growth of the business,and accelerating international development by opening 1 to 2 new international markets per year. Our disciplined, flexible approach, an asset-light, highly franchised model give us a clear advantage in creating long-term value. In addition to the Portugal acquisition, which creates a compelling runway for growth across the Iberian Peninsula, over the past 12 months, we have deployed $650 million to repurchase approximately 11% of our adjusted weighted shares outstanding. Sudhanshu will walk through additional details later in the call.

Turning to development across our franchise system. Let me address our new club opening outlook. As I mentioned earlier, we opened 33 new clubs during the quarter, bringing our year-to-date total to 71 through the end of Q3. Based on current visibility into the new club development pipeline, combined with the Portugal acquisition, we now expect full year new club openings to be approximately 190 to 195 compared with our prior range of 180 to 190 new clubs. While our full year new club opening outlook reflects a more measured pace of domestic development, our strategic initiatives are designed to reaccelerate growth over the long term, and I am confident in our plans to create shareholder value.

Now I will turn it over to Sudhanshu.

Sudhanshu Priyadarshi

Thanks, Colleen, and good morning, everyone. Our third quarter financial results are well detailed in our earnings press release and new supplemental financial presentation that is at level on our Investor Relations website. With those resources providing additional detail, I will focus my comments today on the key drivers of our income statement and the broader trend shaping our business. As always, my comments regarding our quarterly performance will be compared to the same period last year, unless otherwise noted.

Starting with same club sales. We delivered system-wide same club sales growth of 1.5% in the third quarter, with franchisee same club sales up 1.5% and corporate same club sales up 1.8%. Rate drove our Q3 comp gain supported by a 160 basis point increase in Black Card penetration, to approximately 68%. At the same time, the 2-week $10 Promo in Q3 provided helpful insights into the relationship between price and volume on a reasonable basis, that is informing our approach going forward.

For the third quarter, total revenue grew 9% to $360 million, with all 3 segments up year-over-year, led by the franchisee segment, which increased 14%. As a reminder, a portion of this increase was driven by the 1 percentage point increase in NAV contributions from 2% to 3% for 2026, which will go back to 2% for 2027. For the third quarter, the average royalty rate was 6.7%, flat compared to the prior year. The 3.5% increase in revenue in the corporate on Club segment was driven by sales from new clubs as well as increased same club sales. As a reminder, we opened 21 new corporate clubs since the end of Q3 last year. With respect to the Equipment segment, the 11.1% revenue increase was driven by higher replacement equipment sales, partially offset by fewer new franchisee-owned club placement sales. For the quarter, replacement equipment accounted for 85% of total equipment revenue compared to 82%, and we completed 21 new club placements this quarter compared to 27 last year.

Moving to our bottom line. Adjusted net income was $61.9 million compared with $67 million, reflecting both higher D&A and higher interest expense year. Adjusted net income per share increased $0.03, to $0.83 based on an adjusted weighted diluted average share count of 75 million shares compared with 84 million in the third quarter of 2025. The meaningful decrease in our share count reflects our recent sale repurchase activity, which I will detail in a moment. Adjusted EBITDA was $146.2 million, an increase of 3.9% year-over-year, and adjusted EBITDA margin was 40.6% compared to $140.8 million and adjusted EBITDA margin of 42.6%. The reduction is primarily driven by the higher NAV contribution rate. By segment, franchisee adjusted EBITDA was $86.8 million,and adjusted EBITDA margin decreased from 72.5% to 67% with the change in margin driven by the increase in NAV contribution rate. Excluding NAV, franchisee adjusted EBITDA margin were consistent year-over-year. Corporate club adjusted EBITDA was $53.5 million and adjusted EBITDA margin was 37.5% compared with 39%. Finally, Equipment adjusted EBITDA was $25.5 million and adjusted EBITDA margin was 29.2% compared with 30.1%.

Now turning to the balance sheet. As of September 30, 2026, we had total cash, cash equivalence and marketable securities of $515 million compared to $607 million on December 31, 2025. At the end of the third quarter, our net leverage was 3.6x. I'd like to spend a few minutes on capital allocation as we are announcing several actions today. We are a cash flow generative business, and we used that cash to create shareholder value in 3 ways: We invest in the business to support growth, we invest in new markets where we can build a position and recycle the capital, and we buy back shares when we see value.

Let me start with share repurchases. We continue to see value in our stock, and we intend to continue buying back shares over time funded by our cash flow in a disciplined way. In Q3, we repurchased 1 million shares at an average price of $48.63 for a total of $50 million. Year-to-date, we have repurchased 6.4 million shares at an average price of $47.16 for a total of $300 million. As today, our Board of Directors approved a new share repurchase program for up to $500 million. In conjunction with the approval of the new program, the existing program will be canceled. This reflects the Board's continued confidence in our business and our commitment to returning capital to shareholders.

Second, while our model remains highly franchised and asset-light with corporate clubs now representing approximately 10% of the system, we have begun a strategic review of our domestic corporate own club base. We like owning and operating corporate club for some regions, namely, they generate high margins, keep us close to members and give us the ability to quickly test, learn and share best practices with franchisees. That said, we would like to increase the percentage of clubs owned and operated by franchisees. Our plan is to sell a portion of the corporate club fleet to new or existing franchisees, with the intention of using the proceeds from these transactions to support our capital allocation strategies. This process is underway, and discussions with multiple interested parties are ongoing. We look forward to sharing more specifics at the appropriate time.

Third, I want to provide additional detail on our acquisition in Portugal. As Colleen shared, we closed on our acquisition of Be-Fit, a high-value, low-price chain with 25 locations. Where we see opportunity to accelerate our strategic priorities and growth, we will use our strong balance sheet. This is in line with our strategy of entering 1 to 2 new international markets each year in a disciplined and focused way. The acquisition is expected to be accretive to earnings in 2027 and gives us a scaled, profitable entry into a high priority European market with natural operating and geographic synergy with our growing Spain business. We see the potential to double our footprint across Iberia over the next 3 to 5 years.

The portfolio of clubs in Portugal are profitable, with the mature clubs demonstrating a strong EBITDA margin, newer clubs also offered additional earnings potential as they ramp, and we drive store optimization and membership growth to create additional upside over time. Consistent with our approach in Australia, we plan to recycle the capital. The purchase price was approximately EUR 102.5 million, comprising approximately EUR 100 million paid in cash at closing and up to an additional EUR 2.5 million in contingent cash consideration. We funded the purchase price entirely with cash on hand with no incremental borrowing. That is the balance sheet flexibility I referenced a moment ago, and it leaves us well positioned to continue executing on our capital allocation priorities.

To sum up, share repurchases are our near-term priority, backed by a larger origination and a plan to fund additional repurchases through operating cash flow and reducing our corporate club ownership. Our international investments are about disciplined, long-term growth, and where we build a position, we recycle the capital. And finally, as always, we will continue to make foundational investments in the business to support long-term growth across the system.

Moving on to our 2026 outlook. Reflecting our third quarter results and our expectations for the fourth quarter, we are increasing our outlook for system-wide same club sales growth to approximately 1.5% to 2%, up from our prior expectation of approximately 1%. We are also updating our unit growth outlook. We now expect to open approximately 190 to 195 new clubs system-wide, up from our prior expectation of 180 to 190 to reflect the acquisition in Portugal. We are lowering our outlook for new equipment placements to franchisee on location to 135 to 140 from 150 to 160.

Based on these changes, we now expect total revenue to grow approximately 8%, previously 7%; adjusted EBITDA to grow approximately 6.5%, previously 6%; adjusted net income to decrease approximately 3%; and adjusted net income per diluted share to grow approximately 6% based on adjusted diluted weighted average shares outstanding of approximately [ 77 million ]. Net interest expense for the year is still expected to be approximately $115 million. We expect replacement equipment sales will make up approximately 70% of equipment segment revenue; equipment margin rate of approximately 30%; capital expenditures now up 15%, the high end of prior range of up 10% to 15%; and depreciation and amortization up 7% versus previously up approximately 10%. Our outlook does not include any impact from a potential sale of corporate-owned clubs.

We operate a resilient highly profitable global franchise business model with approximately 21.5 million members across nearly 3,000 clubs and 7 countries and a large TAM in a growing health and wellness category. Our strategies are designed to reaccelerate member growth and improve franchisee profitability which ultimately drive the value of our company. At the same time, we are committed to creating shareholder value by utilizing our strong balance sheet and cash flow for a repurchase and accelerating our strategic priorities.

I will now turn the call back to the operator to open it up for Q&A.

Operator

[Operator Instructions] Your first question comes from the line of Arpine Kocharyan with UBS.

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Arpine Kocharyan

I was hoping you could give us your high-level thoughts on agentic AI and impact on your business potentially. It seems like your churn is nicely within historical range, pretty steady and you're taking a more regional approach to pricing. Have those pricing decisions been impacted at all by this kind of more heightened focus on agentic AI and how that -- is that really shaping your strategy? And also, do you plan to keep the $10 pricing option as a promotional tool -- more so promotional tool than kind of making permanent changes to your Classic Card pricing?

Colleen Keating

Arpine, it's Colleen. Nice to hear from you, and thanks for the question. I'll start with the impact on the business with AI. So we see a couple of opportunities with AI, and we're utilizing it in our business today. As you know, we launched earlier this year an AI-enabled predictive analytics churn model that helps us identify indications of churn and propensity to churn. And the next phase of that will be to serve up offer retention offers with the next fast action engine. So that's one example of how we're using AI in our business today.

And then also as we think about marketing, with the precision in our target marketing, using AI to help be more precise in targeting. So where we've moved from search engine optimization, or SEO, and our map-using GEO, which is enabling agentic search and helping us to serve up the Planet Fitness brand into the consideration set of people who aren't using AI, to help them on health and wellness journey. Those are about a couple of examples. And then machine learning, obviously, is helping us with our pricing analytics, and we've done a lot of work this year around our pricing architecture to help inform the decision to launch regional pricing, particularly for Black Card, but AI and machine learning has been something that our data science team has used to help us inform that go-forward strategy.

Arpine Kocharyan

That's super helpful. And then I was hoping you could talk a little bit more about the underlying unit growth outside of the acquisition in Portugal. Why the change in underlying unit openings? Is that nearly kind of decision looking at the acquisitions you're making, some timing decisions? Or is there any underlying change in your unit openings outside of the acquisition?

Sudhanshu Priyadarshi

So Arpine, this is Sudhanshu. So as you saw, our overall total unit for '26 is slightly higher, but yes, we added 25 plus of Portugal. We normally account for some conversions -- we run now 3,000 plus, we always account for some conversion. And we expect the total unit growth in 26 to be 6%, and we feel we have a long runway of growth ahead. So specific to your question, why franchisees are down, I think the guidance have come down around 10 to 15 clubs this year, and one of the reason is the real estate market remains very tight. So when we find a good site, we do it, but it's also delayed, is most of them is timing related. Where we are right now, we're seeing [indiscernible] it to next year. So we just wanted to make sure that we guide the right cadence for you all. But we feel that our [indiscernible] held in a good place, and we expect similar level of growth in the price unit growth in '27 also.

Operator

Your next question comes from the line of Rahul Krotthapalli with JPM.

Rahul Krotthapalli

Colleen, I appreciate the color on the retention initiatives. Can you elaborate on the marketing opportunities, specifically around the DCO, on the personalization engine, to redirect the parts of the discussed strategy to minimize churn, and also elaborate on how you're thinking about the marketing message evaluation, what we saw in August as we approached December?

And the follow-up is on the greenfield versus M&A opportunities internationally. How should we think about the franchise versus the company store mix in the near to medium term as you refranchise U.S. clubs but also bring on some of the international clubs on balance sheet? Is it just a timing thing that we should be mindful of?

Colleen Keating

Sure. So I'll start with your question about the marketing opportunity. I touched a bit in the last semester on AI enablement and genic search optimization in partnership with the more traditional search engine optimization and that those are tools we're using to have our marketing have a more precise reach to our target consumer. And we use that in partnership with the DCO engine, the dynamic content -- or dynamic creative optimization engine, that we put in use in September of this year. That also helps us to serve up creative that's more uniquely tailored to the target -- to our target.

And then on churn, I touched on the churn mitigation in the last question as well and how we're using AI enablement and then also the in-club experience and how we're engaging with our members to create the sense of belonging and community that we know enhances member retention. I'll also say from a retention standpoint, we've continued to make excellent progress in the Bridge Club format across our estate. So today, the vast majority of our domestic estate has some version of a format optimized layout, and then the full Bridge club, which a Bridge Club is where we've got a more balanced footprint of strength in cardio on the gym floor, we've got roughly half of the domestic estate, 50% -- roughly 50% of the domestic state has moved to a Bridge Club format. So we're continuing to make sure that we're offering our members and prospective members, the experience in the club both in terms of format and equipment as well as the warm welcoming culture that has brought people into the category for decades.

And then I think the last part of your question was on the international growth and the opportunity we see there as well as the franchising opportunity versus utilization of the balance sheet. We were intentional about bringing Portugal -- identifying clubs in Portugal as a complement and with the synergies to the success we've seen in Spain. And this portfolio, in particular, has the right footprint, the right layouts. They will be converted to Planet Fitnesses over the fairly near term, but a great complementary portfolio to grow the Planet Fitness' footprint in Iberian, Peninsula.

And as Sudhanshu mentioned in his remarks, we remain committed to opening 1 to 2 new markets a year and intend to -- if we use our balance sheet, to enter a market as we did with Portugal, our intention is to recycle that capital and bring a franchisee into the territory as well, similar to what you saw us do with Australia. We ceded that with balance sheet money and then exited our position when we were able to put that territory into the hands of a great well-capitalized franchisee to further grow it.

Operator

Your next question comes from the line of Randy Konik with Jefferies.

Randal Konik

I guess, Colleen, you talked about like, I guess, new learnings, and there was some variability around the $10 test. Can you give us some perspective of the different learnings that you had there and the different types of variability that you saw with that test? And then can you talk a little bit deeper around the Black Card price increase? I think, for 2Q '27. I think you said regional. What does that mean? You're going to cluster states to start? Just to clarify what you mean there would be super helpful.

Colleen Keating

Sure. So on the learnings -- nice to talk with you, Randy. On the learnings from the $10 test, it really did very much give us insights on regional nuance and price elasticity at a DMA level. What we saw specifically in the test is our promo, I guess, I'll say it was a 2-week period, early September, we saw some markets where it was kind of net accretive to the AUV and we saw other markets where there was joint favorability, but it wasn't favorable enough to offset the delta between the $15 and the $10 price point. So I guess, for $10 specifically, just to kind of cut to the chase, it did not prove out that the $10 price point was net accretive across the system. But there were pockets in markets where it could be beneficial to allow a franchisee to utilize it in a promo window or maybe in a preopening environment to build volume as a promote. But it did confirm the decision to not do a nationwide go back to $10.

And then I'll say on how we would inform Black Card pricing, we've gotten -- with the $10 promo, but with all of the price testing that we've been doing over the last number of months, we've got much more granular visibility to price elasticity at a market level, and that is informing our go-forward strategy on Black Card. So we will increase Black Card pricing in our system in 2027. We will do it on a regional basis. You may see some price differential at a regional level.

Operator

Your next question comes from the line of Simeon Siegel with Guggenheim Securities.

Simeon Siegel

If I forget, I hope you have a nice holiday season, the family. Colleen, the first 100-day comment you made was interesting. Have you been able to isolate different churn profiles based on those first 100 days? I guess do you see any meaningfully different retention results across member cohorts there in their first 100 versus once they're -- the older cohorts? And then higher level to follow up maybe to Randy's question in your last comment. Just how you think about pricing maybe as a marketing acquisition or retention tool? So internally, do you guys think about it as being a reason to sign up, a reason not to cancel, a measure of value, just something else entirely? Just curious the philosophy on how you're viewing pricing.

Colleen Keating

I'll start maybe on the churn in the first 100 days. We've said we do see statistically significantly higher churn in the first 100 days versus a member who's got longer tenure with us. And we also see higher churn in the younger cohort, specifically the 18- to 22-year-old age cohort. So consider 2 things. With the first 100 days, that's an important inflection point in somebody's fitness journey. We're looking to create a greater sense of belonging and support a member on their fitness journey in a more pronounced way during their first 100 days. We'll do that through both the in-club experience as well as digital engagement through our app so that we can personalize the experience digitally and also recognize the member in their first 100 days, with some offerings in the club to help them get acclimated and feel comfortable, feel a sense of belonging in the club environment. And we know that if we improve retention in the first 100 days, we've improved churn overall.

And then on the on the age cohorts, I'll just say we talk a lot about Gen Z being the fastest-growing segment of our membership and the greatest proportion of new joins. So that engagement in the first 100 days will also be impactful to that cohort of 18- to 22-year-olds that have higher churn. At the same time, we saw we saw better penetration this quarter across some of the other cohorts. I'll say, Boomer specifically, we saw a nice increase in penetration with the boomer cohort. So I think that speaks to the changes that we've made in our marketing and broadening the reach of that marketing and more diversity of age and fitness level and the talent that we're using. So we're pleased with that result in Q3 as well.

Sudhanshu Priyadarshi

Yes, on the pricing piece, if I can add. So as you know, our goal is to maintain this HBL leadership and drive accretive net revenue growth and also AUV growth because that enhances franchisee profitability. And you saw that our testing showed we can raise pricing in certain markets, and that's the reason we are making a decision that next year, we'll have a regional price increase in different markets. And it also helped our franchise to have a clarity on pricing that will drive the unit growth next year.

And it's a part of the equation. It's important to put all the price increases be taken that last time we implemented backfit pricing was in 2022. But since then, we have grown our Black Card member from 62.5% to now close to 68% in Black Card penetration today. So we feel good about our pricing power, and it is part of the equation of driving net member growth, AUV and alter unit opening that creates shareholder value.

Operator

Your next question comes from the line of Sharon Zackfia with William Blair.

Sharon Zackfia

I guess I'm curious, when you did the $10 promo and you saw that regional variation, was there any correlation there with the competitive dynamic in those regions? .

Sudhanshu Priyadarshi

Yes, there was. We have a 3,000 club, close to 2,800 club in U.S. And when you run a 2-weeks $10 promo, you see regional variations where we have more pricing power, where we have slightly less but pricing power. Net-net, it drove higher joins for the country, but it didn't give us enough AUV, as Colleen mentioned. But that gave us the learning that which market we can drive Black Card pricing. We made a decision based on this test, that we don't intend to go to $10, which Classic Card pricing will remain at $15. But in some regions, some markets, where we saw the results, we wanted to do 1-week, 2-week promo into specific markets, but batted do it, but we feel that we have the pricing power, and we were using more to understand the regional nuances that allowed us to kind of come up with the regional pricing for Black Card.

Sharon Zackfia

Maybe I should reframe the question. Was the competitive dynamic, the main underlying commonalities for the variation you saw across markets? Or were there other common denominators that explain that?

Colleen Keating

There were churn multiple factors that influence the regional read. And some of them were intuitive in what we expected to see, and there were others where we saw the market might respond to more and it had more price elasticity maybe than we originally contemplated. But as we think about the go-forward plan, with the regional pricing infrastructure, again, we'll go back to -- we'll let the data drive the decision. The $10 pricing promo was 1 test, 1 data point or 1 period that gave us data, but we've been running other tests in our pricing architecture through the spring and through the summer, that also helped inform the go-forward plan.

There were -- as Sudhanshu said, there were some competitive markets that responded in a more [indiscernible] way. There were others that have a competitive dynamic that didn't have the kind of the outsized performance. So a lot of regional nuance, but again, our data science team is aggregating all of the data, not just from the $10 promotion, but from all of the reads that we've been doing this year, to inform the Black Card pricing increases that will be rolled out in 2027.

Operator

Your next question comes from the line of Joseph Altobello with Raymond James.

Joseph Altobello

Just wanted to clarify a couple of things that have been touched on already on the call. I guess, first, you talked about the opportunities from agentic AI, but are you seeing any impact on churn or any uptick in churn from things like news for example? And second, I think you mentioned the fewer new club openings this year is due to the tight real estate market. Are there any issues with the franchisee health or franchisee economics?

Colleen Keating

I'll take the first 1 on -- I'm glad you asked the question. So thank you for asking the question about news impact. We are watching that daily, and I can tell you that the impact has been de minimis. It is -- actually, what we've seen is it's more cumbersome to cancel with an agent and all of the steps that you have to go through and the validations to cancel with an agent, it's actually more cumbersome than just logging into your account yourself, handling your membership. So again, we're watching it daily, but the impact has been de minimis so far.

Sudhanshu Priyadarshi

On the franchise's healthy, we have said before that we have great franchisees who are committed to Planet Fitness brand and a great operator, and that was reflected in we signed up new 2, 3 franchisees this year and also [ Sling Group ] expanded his portfolio. And they have expressed optimism on our go-forward plan as it became clarity on the key input, like Black Card pricing. And it also helps them drive their unit economics, and we have also introduced a new prototype that builds costs. It's roughly 10% lower. So all of these factors will help franchisees economics and franchisees health. And the feedback we're getting is that the clarity on the clarity on marketing and what we're planning to do next year will allow them to continue to drive economics, and that results into better franchisees club opening.

And the last thing I would mention, you also saw that we are doing a strategic review of our corporate class. And one of the reasons we're doing the strategic review, we are looking at as a growth unlock. We have roughly 280 clubs in U.S., corporate clubs. We like corporate clubs. We like to go on them as a lab and -- but we don't need to run 280 clubs. They're really doing it. The strategical review, we will look at it in which geography, in which region we can sell some clubs to new franchisees, some of you [indiscernible] a club to new franchisees, that allows us to recast the ADA and drive more franchisee growth in U.S. and also drive more unit growth. So we're looking at from all the factors to drive unit economics for franchisees and drive growth in U.S.

Operator

Your next question comes from the line of Jonathan Komp with Baird.

Jonathan Komp

If I could just clarify, fourth quarter same-store sales, the midpoint is around flat. Just wondering if you expect to do a little better than that? Or any color? And Colleen, do you have more confidence or visibility to all of the things you laid out driving better number and comp trends, just overall confidence in time line you think you could start to see the payoff with some of those initiatives?

Colleen Keating

Yes. So I'll touch on that, and then I'll let Sudhanshu answer to build. I'll say, first of all, we're pleased with where we came through third quarter as an indication of the momentum that we're seeing and the marketing that we -- the new marketing that we put in place at the end of August, I touched on it on one of the earlier answers how we're seeing the penetration across generational cohorts, saw growth in boomers, which was encouraging for us, so we're feeling very good about the new creative, and we're using the data and insights that we're getting from the interim creative that we launched at the end of August and through the last couple of months to inform full new campaign that will go into market at the end of December and carry us into Q1.

The other thing we've done is a couple of different enhancements. The testing that we're doing around the marketing and creative has been very insightful. And we've got several new agency partners that are helping us with the precision of our targeting. So we've got a new agency partner that's helping us run the DCO engine. We brought in an agency partner that specializes in digital and influencer strategy, which we know is important for the younger consumer. We've brought in a new agency partner to help us with media mix modeling so that we are better -- able to better understand what's the ROI for every media placement in and the optimal channel mix. So we've got few tools and support and resources, and we're seeing good feedback -- early feedback -- it's early from the interim creative as well.

Sudhanshu Priyadarshi

And on the same clubs sales growth, yes, we were -- this did better than our expectations. We told you during last call, we were expecting both Q3 and Q4, not to be negative. In Q3, we delivered 1.5% same clubs sales growth. If you look at our 2-year stack, in 2025, we delivered [ 3.9% ] growth. So we're growing on top of our great growth in Q3 and allowed us to read our guidance approximately 1% to 1.5% to 2% for the year. So if you do the math, we expect to grow again in Q4 in same club sales, and we have already have a lot of information coming from the market in creative and we feel good about Q4, and we feel good about the growth in same-store sales, and that confidence allowed us to guide higher.

Jonathan Komp

That's great. And then if I could just follow up on the opportunity to review refranchising and corporate club ownership. Certainly, the model has been asset-light historically. The CapEx has come up meaningfully versus where it has been in the past. So I'm wondering -- I should ask you if you could share a little more just on the parameters you're using of maybe how far you'd be willing to go in terms of the corporate coownership. And any thoughts on time line that we would expect to start to see some of the interest you [indiscernible] convert into any potential action here? .

Sudhanshu Priyadarshi

Yes. So as we just announced, we are in earlier stage of strategic review process. We always had a new franchisee or current franchisees coming to us. And as I said before, they're trying to take a new ADA. They want some corporate levy, but just gives them the cash flow already. So we're seeing those interest, and we would like to use this as a growth unlock, as I said, we work in U.S. At the same time, we are an asset light. We think the asset-light model makes perfect sense for us. We don't have a set number. It will be sub-10%, but we don't have a set number, and we want to do it in a strategic way because we want to do it in driving growth and looking at regional, looking at new franchisees, looking at the current franchisees, and we will share a lot more when we have more to share on that.

But the key question here is we want to run it at the lab or we don't need to run 2 clubs in the U.S. And we want to use some of this capital to return money to shareholders. At the same time, we want to use a portion of this capital to try some international being wanted to market and then further recycle that capital. So it's a growth unlock for National, growth unlock for U.S. and also shareholder value creation because a portion of this money will go back to shareholders through increased buyback.

Operator

Your next question comes from the line of Max Rakhlenko with TD Cowen.

Maksim Rakhlenko

Great. Just one quick clarification, Sudhanshu. Did I hear you say that 27 franchise placements should look similar to the updated 2026 guide? Is that right? .

Sudhanshu Priyadarshi

Yes. So we will give you official guidance in February, but it was a question about franchise health, and we are -- what we're seeing from them. And if you look at this year, we guided 190 to 195, the Portugal M&A out, what I said that it should be a similar level for next year minus Portugal, but we'll guide officially in February for 2027.

Maksim Rakhlenko

Okay. That's great. And so just first question, can you provide more color on the personal guidance and group fitness comments that Colleen had? Is that -- obviously sound new exciting. How is that going to look? And then on Red Light Sauna, I think that there were previously 4 other pieces of equipment that you were piloting. So just curious how that's coming along as well.

Colleen Keating

I'll maybe start with the color on PE@PF. So PE@PF has been our opportunity to provide kind of small group last support for our members in the club. We are revamping PE@PF to augment the offering with some very specific class formats, again, small group, very much in line with the ethos of pf Fitness, so a small group, but an opportunity to engage with our members we've tested, and I won't be specific about them for competitive reasons, but we've tested 4 specific class format to date. Two of them have been outsized performance versus our historical PE@PF, and we're seeing very good member feedback. So rituals is another example of bringing people into the club and creating a sense of community, but specific to the PE@PF class formats, we're revitalizing and reinvigorating that program.

And then in addition to the Red Light Sauna, you're right, there are 4 additional modalities. At the end of July, we had the 5 modality suite, placed in 100 clubs in a dedicated DMA so that we could put marketing behind them and understand if they drove incremental joins as well as well as measure of the NPS and evaluate the impact on member satisfaction. I specifically called out the Red Light Sauna because that's had -- of the 5 modalities, they've all been favorably received, and we've had good member feedback about all of them. But that one, in particular, has had very high utilization, and from a manufacturing standpoint is one that we've been able to accelerate putting in more of our clubs. But the other 5 modalities are in 100 club test, and we're moving forward with those as well -- the other 4 modalities, I should say.

Operator

Your last question comes from the line of Brian McNamara with Canaccord Genuity.

Brian McNamara

Correct me if I'm wrong, but it seems like the recent price promo test was done within a much shorter time period than you guys normally do in the past and you came to a pretty quick conclusion here. So I guess what gives you the confidence this is the right move without maybe more rigorous testing?

Colleen Keating

I'll take that. I'll start that, and Sudhanshu, if you want to build. But we've been doing testing around pricing architecture all year. And we had tested Black Card previously when we were contemplating going to [ $29.99 ] system-wide. Our testing this year focused more on regional nuances and also the architecture with the thought that when we make -- when we do a rollout system-wide, there are clubs that benefit, and there have been clubs that didn't benefit to the same degree. And we thought a more precise pricing architecture that looked at the region performance and price elasticity by region would be the optimum way to capture price and give our franchisees the opportunity to garner price, while at the same time, not really -- not throttling or minimizing the throttle on joint volume. So optimal balance.

Brian McNamara

That's really helpful. And then just finally, I'm curious, do your best and worst performing clots have commonalities, whether it be club layout, mix of strength in the cardio equipment operator, competitive intrusion, et cetera? What are those? And can you take those learnings to improve or even close some of the underperformers?

Colleen Keating

Yes. I'll start, and then Sudhanshu, if you want to chime in. There's I can't paint it with one brush. I will say we've got high-performing clubs that are in the right location in the trade area that also provide an excellent member experience and have the right equipment mix to meet the members' needs sometimes -- so there are a couple of factors. The club experience and the NPS certainly matters. The equipment mix, we see higher performance in clubs that have moved to the Bridge Club format, member join, member retention and NPS all go up with the Bridge Club format, which is why we've seen the system move Bridge Club so rapidly. And then I'll also say, being in the right location also matters. So the location in the trade area is also a factor.

Operator

We've reached at the end of Q&A session. I will now turn the call back to Colleen Keating, CEO, for closing remarks.

Colleen Keating

Thank you, operator, and thank you, everyone, for joining us this morning. We are very focused on the near-term evolution of our business, adapting our strategy, sharpening our execution and strengthening our foundation for sustainable long-term growth. We're building from a position of strength, supported by an enduring brand, a highly resilient business model and an accessible high-value offering that has brought fitness within reach for millions of consumers. I am confident that the actions that we are taking today will position Planet Fitness to capture the significant growth opportunity we see ahead as more and more people around the globe make fitness and wellness, an important part of their lifestyle. Thank you.