Revenue Analysis:
Total Revenue remained strong with growth over the last three quarters. The Total Revenue was $285.1 million, $277.6 million, and $286.5 million for the quarters ending on December 2023 and September 2023 and June 2023, respectively. This shows a significant rebound in the last quarter. Operating Revenue mirrored this trend and Gross Profit improved from $119.9 million in March 2023 to reach $150.2 million by June 2023, although a slight decrease has been observed by the end of the year.
Cost Management:
The Cost of Revenue showed a noticeable increase until June 2023 and dipped in March 2023. By December 2023, the Cost of Revenue was reported at $140.7 million. Operating Expenses were highest in June 2023 at $73.2 million but reduced slightly by the end of the year. Total Expenses showed a gradual increase from $170.1 million in March 2023 to $213.7 million by December 2023.
Profitability Analysis:
EBITDA was stable around $118 million for June and December 2023, dropping to $92.2 million in March 2023, indicating robust operational effectiveness. Operating Income peaked in September at $72.4 million but also saw a slight decline to $71.4 million by the end of the year. Pretax Income followed a similar trend, peaking at $60.1 million in June before slightly decreasing. Net Income reflected an upward trend from $22.7 million in March 2023 to $41.1 million by June 2023.
Cash Flow Indicators:
Reconciled Depreciation ranged from $36.0 million in March 2023 to $39.2 million by December 2023, showing gradual increment. Interest Expense remained constant at around $21.7 million across the quarters, suggesting stable finance costs.
Taxation:
Tax Rate varied from 0.276 in March 2023 to 0.245 by September 2023, showing variability in fiscal charges. Tax Provision was highest in December 2023 at about $19.7 million, adjusted closely with before tax earnings. There were no unusual tax items noted in any quarters, indicating standard tax operations.
Shareholder Metrics:
Diluted EPS saw an improvement from 0.27 in March 2023 to 0.41 in December 2023. Both Diluted and Basic EPS displayed an increase through the quarters, reflecting better earnings available to shareholders. Diluted Average Shares increased slightly suggesting a small dilution in shareholder value.
Conclusion:
PLNT has demonstrated stable revenue growth with strong cost management practices. An increase in profitability indicators coupled with stable cash flows and interest expenses points to healthy financial health. The varying tax rates should be monitored, but overall, PLNT appears financially healthy and might be expected to continue this trend.