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Total Fitness turns a profit as it beats pre-COVID membership
26 Mar 2024
Total Fitness has released results for its most recent financial year (to June 23), which saw a return to pre-COVID membership levels following a year-on-year uplift in membership numbers of 5 per cent.
Members also used the clubs more, with total visits up by 8 per cent. Revenues grew by 11 per cent to £39.97 million and group EBITDA by 11 per cent to £5.1 million.
The company made a bottom line profit of £271k on this turnover, making it one of the few large gym chains to turn a profit for two consecutive years since the pandemic.
In a trading update, the company also reported a record number of new memberships were sold in January 2024. Chief financial officer, Tom Rayner, said: “maintaining high rates of engagement from members makes Total Fitness less susceptible to recent economic pressure on household incomes. We’re seen as an essential rather than a luxury by the majority of our members.” Last year saw the company make a pioneering move with the launch of the Women’s Gym at Whitefield, creating a supportive female-only fitness environment. This blueprint will be rolled out to additional sites, although the company says there are no time-period or multi-site commitments attached to this launch. There has also been significant investment in the Preston and Wigan clubs to elevate the member experience and the launch of a Swim Academy across all 15 clubs to meet the demand for high-quality swimming lessons for children.
Launched in 1993, Total Fitness has 15 clubs across the north of England and Wales and provides a full-service offering with gyms, classes, swimming pools and digital content. The company’s social value has been measured at £47 million, by Datahub using the 4Global Social Value Calculator. It has around 100,000 members, including 10,000 complimentary members, partners and swim academy members. Looking ahead, Total Fitness says it is strategically poised to capitalise on macro-trends that were driving sector growth pre-pandemic and which are forecasted to grow.
The company’s financial position has been strengthened in recent years by it going through a CVA, which ran from 13 April 2021 to 6 Feb 23 when it exited early from the arrangement, having shed £13,195,582 of losses at 4.48 pence in the pound.
CORRECTION. 26 March 2024 A previous version of this news story said that Total Fitness paid out 48p/£1 during its CVA. This has been changed to 4.48p/£1
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