The Gym Group to open up to 16 sites in 2025 following strong revenue growth
The Gym Group is planning to open between 14 and 16 new sites in 2025, following “strong revenue growth” in 2024.
This forms part of the gym operator’s plan to open around 50 sites over three years. Last April, Savills were appointed to advise on its expansion.
The Gym Group – which operates around 245 venues in the UK – opened 12 new sites last year, located in: Orpington; London Euston Road; Manchester Oxford Road; Welwyn Garden City; London Plaistow; Dudley; London East Ham; London Bromley by Bow; Surbiton; Gillingham; London Shepherds Bush; and London Elephant and Castle.
The group also reported revenue of £226.3m in 2024, an year-on-year increase of 11%. Adjusted pre-tax profit was £3.6m, up from a £5.5m loss in 2023.
The operator’s free cash flow also increased, up to £37.5m at the end of the year compared to £27m at the end of 2024.
Will Orr, CEO of The Gym Group, said: “This strong set of results reflects good progress against the strategic objectives set out in our Next Chapter growth plan. We have seen excellent momentum to date with increased membership, revenue and profit; and our market-leading proposition is more resonant than ever, in a sector that is growing. We will continue to execute on initiatives started in FY24 alongside new initiatives in place for FY25, underpinned by our investment in technology and data to drive future growth.
“As a result, we believe there is still more benefit to come from the Next Chapter growth plan, giving us the confidence to increase guidance again to the top end of the recently revised analyst forecast range for FY25. We also remain on track to deliver our target of opening c.50 new high quality gyms over three years, funded from free cash flow.”