Gym Group FY revenues grow as members grow

The Gym Group said revenue increased by 18% to £204.0m in 2023, with average members up 8% to 872,000 and average revenue per member per month up 9% at £19.50. Like-for-like revenue grew 8% year-on-year.

Net debt was £66.4m at the end of December, compared with £76.1m aa year earlier, reflecting a "strong working capital performance" and the timing of spend on new site openings and other capital expenditure projects.

As anticipated, revenue growth offset utility-driven cost inflation and leverage was now expected to remain within the range of 1.5x to 2.0x.

Chief executive Will Orr said: "We have delivered good growth in both membership and revenue which will underpin FY23 results in line with guidance, and we are well-prepared for our key recruitment period in the coming quarter, with a flexible, high-value low-cost offer that makes gym membership even more accessible for everyone.

"These are strong foundations on which to build our 'Next Chapter' growth plan and I will provide an update on this with our full-year results in March."

As of 0900 GMT, Gym Group shares were up 2.85% at 108.20p.

Reporting by Iain Gilbert at Sharecast.com