One year into being a public company, Planet Fitness stands out for its big stock gains and for its relaxed approach to fitness.

“It’s not a room full of very serious exercises,” said Chris Rondeau, chief executive of Planet Fitness PLNT, -2.24% , in an interview with MarketWatch.

The company targets the first-time gym customer and the “casual user,” with $10 base memberships, an advertising campaign in Times Square on New Year’s Eve, and pizza and candy in the gyms. This, compiled with a largely franchise-run growth plan and a high level of brand awareness has helped Planet Fitness Inc. PLNT, -2.24% weather a year of market turbulence.

The stock has gained 39% year to date, compared to the S&P 500’s SPX, -1.15% gain of 6% and has beat earnings expectations every quarter since going public in August 2015. The stocks of other IPOs from that year haven’t done as well, with Box Inc. BOX, +0.67% losing 9% and Fitbit Inc. FIT, -0.94% , which also operates in the fitness space, down 50%.

Rondeau said he believes there isn’t much competition from other gyms in this particular market. Instead the competition comes from eateries and entertainment that may lure the company’s target customer away from the gym.

“The first main competitors are honestly Chili’s and Uno’s and the movie theaters,” Rondeau said.

The company measures churn rate on a 12-month basis, as the first year of regularly working out is the hardest part, and Rondeau says it continues to see single number rate drops.

On the company’s earnings call Friday, Dorvin Lively, the company’s chief financial officer, said that the 12-month metric is important to the company because their target customer isn’t leaving Planet Fitness for another gym.

“If they decide to not stick to it, they’re going to go back to the couch,” he said.

Overall the gym has 8.6 million members.

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Rondeau said the company’s new store openings are another sign of success, with 90% of stores being opened by existing franchise owners. The company reported same-store sales growth of 7.6% in its second-quarter earnings report.

Planet Fitness has expanded beyond its U.S. locations by opening gyms in Canada and the Dominican Republic, where Rondeau said the company is using the same model of low gym memberships and a less intimidating gym environment. Among other slogans, the company has branding that specifies “No Lunks,” meaning intense weightlifters and the like.

The company is also looking to expand in Latin America, eyeing Mexico, Colombia and Chile as target markets.

Rondeau himself works out in his gyms whenever he travels. While at home in New Hampshire he said he works out in his home gym or goes to a nearby Planet Fitness location.

The gyms have a pizza night once a month and bowl of candy every day, which may cause some to question the fitness aspect of the company. But Rondeau says the company “isn’t going after the fitness fanatic” and that these treats are good for customer and staff camaraderie.

“If you work out two to three days a week, you should splurge,” Rondeau said.