The Gym Group sees profits soar 34%

Low-cost gym operator The Gym Group plc achieved double-figure profit growth last year.

The Croydon-headquartered firm generated a pre-tax profit of £9.2m in the 12 months to December 31, up 32% against the £6.9m reported the year previous.

Revenues for the period grew 24.4% to £91.4m, rising from £73.5m in 2016.

Gym Group attributed the growth to an increase in average member numbers, with total member count reaching 607,000 at the year end.

The company also grew its portfolio to 128 gyms in 2017, with 21 new gyms opened and 18 acquired from Lifestyle Fitness over the course of the year.

Gym Group CEO John Treharne said: “We have made considerable progress in 2017 and were the fastest growing low cost fitness operator, substantially increasing our market share and rapidly expanding our estate.

“We continue to see potential for substantial growth in 2018 as we plan to open a further 15-20 new gyms and benefit from the profitability of those sites opened in recent years reaching maturity.”

He added: “We have had a strong start to 2018 and are excited about the future and confident in our team’s ability to maximise our opportunity.”

Chairwoman Penny Hughes commented: “This rate of business growth has required us to mature our capabilities. Our operations organisational structure has developed and new talent, particularly in marketing and technology, gives both enhanced capability and also greater resilience.”

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