The Gym Group adds more than 30,000 new members as revenue soars

Budget fitness centre operator The Gym Group has added more than 30,000 new members to its books and seen its revenue soar year on year.

The London-listed gym group said its revenue had grown to £112m in the six months ended June 30, 2024, up from £99.8m in the same period of 2023.

This 12 per cent increase was driven by a surge in new members. The Gym Group’s membership hit 905,000 at the end of the period, up from 867,000 on June 30, 2023 and 850,000 on December 31, 2023.

The company said it was on-track to deliver its target of opening 10-12 new gyms by the end of the year, having launched four new sites during its first half.

Will Orr, CEO of The Gym Group, said: “We are making encouraging progress with our strategic priorities under our Next Chapter growth plan, delivering good growth in membership and yield.

“We have further strengthened our financial position, whilst stepping up our opening programme in line with our target to open 50 high quality sites over the next three years, funded from free cash flow. 

“After a strong first half, we expect to deliver full year results at the higher end of market expectations.”

During the period, the group said it had completed the refinancing of its bank debt with its existing banking group, which was comprised of Natwest, HSBC, and Barclays.

The new three-year facility is made up of a £45m term loan and a £45m revolving credit facility, at a minimum annual interest rate of 2.75 per cent above SONIA.

As of June 30, 2024, the group’s net debt was £54.6m, compared with £66.4m at the 2023 financial year end.

The group’s interim results for the six months ending June 30, 2024, will be announced on September 11, 2024.