The Leisure Media Company Ltd
The Leisure Media Company Ltd
The Leisure Media Company Ltd
Leisure Opportunities
Job search
Job Search
see all jobs
Latest job opportunities
New Hall School
£3,768pa (for 5hrs term-time saturdays)
Chelmsford, Essex
Active Luton
£30,027pa + non-contrib pension + benefits
Stockwood Park, Luton
Harrow School
£29,500pa + pension + benefits
Harrow, London
University of Brighton
£23,144 to £25,138pa
Brighton, East Sussex
Everyone Active
Competitive rates of pay
South Oxhey Leisure Centre, Watford

Gym Group sees healthy jump in memberships and revenue – trials new pricing structure

The Gym Group saw its membership grow by nearly 10 per cent in the first half of 2023 as it welcomed new CEO Will Orr on 1 September
The low-cost operator recorded 867,000 for H1 vs 500,000 at the end of lockdown
The figure marks an increase of 9.7 per cent on the June 2022 figure of 790,000
The company is trialling new three-part pricing architecture
Job opportunities
University of Brighton
£23,144 to £25,138pa
location: Brighton, East Sussex, United Kingdom
more jobs

The Gym Group saw its membership grow by nearly 10 per cent in the first half of 2023, resulting in a major boost to revenues, with the million member milestone now in sight.

Reporting its results for the first six months of the year, the low-cost operator said it had 867,000 members on 30 June 2023, an increase of 9.7 per cent on the June 2022 figure of 790,000. The total is also up 5.6 per cent since the end of 2022, when it had 821,000 members.

The company went into the pandemic with 891,000 members, but this fell to around 500,000 after the lockdowns.

Revenue grew 18.5 per cent year on year, reflecting a healthy increase in yield (average revenue per member per month) of 8.4 per cent. Like-for-like revenue grew 6.9 per cent year on year. Chair, John Treharne said: "This is an encouraging and solid performance which builds confidence that the journey to long-term recovery is well underway."

The Gym Group attributes the improvements in revenue to both the average price of a standard 'Do It' membership, which increased by 5.4 per cent to £22.02 and the penetration of its premium 'Live It' membership, which grew to 30.7 per cent of total membership (up from 28.7 per cent in 2022).

Working with pricing experts at Simon Kucher and Partners, the company reviewed its pricing last year, identifying a £4 gap against other low-cost operators and has been working to close this to drive profitability.

Treharne said The Gym Group is also trialling a three-part pricing architecture at some of its clubs and expects this to contribute to the drive for profitability once rolled out. The company, which is still in growth mode, registered a statutory loss after taxation of £6.1 million in H1 2023, versus a loss of £3.4 million in H1 2022.

Increases in energy prices and other inflationary pressures meant operating costs (excluding depreciation, amortisation and impairment) increased 25 per cent to £65.2 million from £52 million in the same period in 2022, but Gym Group chair, John Treharne said the positive trading results offset the impact of this inflation, maintaining EBITDA.

EBITDA – less normalised rent – was broadly flat in line with expectations, while net debt has fallen by £6.4m since September 2022.

Treharne said the company has extended its bank facility to 2025, with Barclays new to the syndicate, joining HSBC and Natwest and replacing Sabadell. The focus continues to be on reducing net debt and keeping borrowings within two times net debt as the company drives growth.

The Gym Group slowed its rollout in 2023 against 2022 – when it opened 28 new locations – following a more prudent opening strategy this year in order to be self-funded. The mature estate has also had £7m of investment this year.

Two new locations have opened so far during 2023 – in Edinburgh and Accrington – and the company plans to open a further four to five by the end of the year (the fifth may fall into early 2024) before accelerating the roll-out to 10 to 12 sites in 2024.

New clubs which are being built in residential areas are proving successful, with Treharne saying the company is seeing good performances from its 2021 and 2022 openings. The occasional disposal will take place where sites are not performing or leases are under review.

New CEO, Will Orr, took up his post on 1 September, with Treharne saying: "The actions we've taken to strengthen the management team,including the appointment of Will Orr as CEO, coupled with our financial position and the group’s customer proposition is enabling us to continue to take advantage of the many growth opportunities in our market.”

Sign up for FREE ezines, news alerts & magazines
Related news

Gym Group shares jump after lifts in memberships and revenues

14 Jul 2023
Shares in The Gym Group have jumped sharply, after it reported substantial gains in membership ...

UK fitness sector hits record value according to State of the Industry Report

07 Jun 2023
The UK fitness industry's market value has reached an all-time high, despite a small drop ...

The Gym Group appoints The Times MD, Will Orr, as CEO

03 May 2023
The Gym Group has appointed Will Orr as its new CEO and executive director. Orr ...
The Gym Group saw its membership grow by nearly 10 per cent in the first half of 2023, resulting in a major boost to revenues, with the million member milestone now in sight. 

More News

1 - 15 of 67,939
25 May 2024
The JD Gyms Group has completed a deal to acquire Simply Gym from Bay Leisure. The deal comprises four gyms: one in Greater London and ... More
24 May 2024
Women’s health specialist, The Well HQ, has secured 'sweat equity' backing from Priya Oberoi, founder of venture capitalists, Goddess Gaia Ventures, who will take on ... More
25 May 2024
Merlin Entertainments has launched its new Hyperia rollercoaster at Thorpe Park to celebrate its 45th year. The ride is billed as the UK's tallest, fastest ... More
24 May 2024
Peloton has secured a critical US$1bn five-year loan to shore up its finances. The loan has repayment terms which are 600 basis points over the ... More
24 May 2024
Five-star Scottish countryside retreat Mar Hall Hotel, Golf & Spa Resort in Bishopton has lifted the curtain on its newly refurbished spa and leisure suite. ... More
24 May 2024
Evian Spa, the spa and wellness brand inspired by the premium mineral water brand, has arrived in Doha, marking its inaugural Middle Eastern location and ... More
23 May 2024
A new nature-inspired wellness destination called Align is coming to Tucson, spearheaded by brothers and local hospitality entrepreneurs Mark and Eric Erman. Designed to foster ... More
22 May 2024
Leisure Media has added another heavyweight to its line-up of CEOs for its inaugural HCM Summit this October. Dean Kowarski will talk about the intersection ... More
21 May 2024
Modern US wellness brand The Well has promoted Zeev Sharon, formerly VP of real estate, to chief development officer. Sharon will oversee its global expansion ... More
21 May 2024
Empowered Brands has signed a deal with European staffless gym chain, Fit+, to be the master franchisor in the UK and Ireland. More than 200 ... More
04 May 2024
British spa and skincare giant Elemis is making an entrance into London's retail scene, picking Covent Garden's Seven Dials for its inaugural standalone store. Now ... More
21 May 2024
Live action video game experience Chaos Karts has launched in a 15,000sq ft arena in Al Quoz, Dubai. Chaos Karts is the brainchild of Tom ... More
21 May 2024
Twenty-five cameras, nine servers, 70 projectors and a range of AV technologies are being used to bring the art of Van Gogh to life in ... More
21 May 2024
A study has found that the use of cinematic and video editing techniques can drastically increase the aesthetic appeal and user engagement of virtual reality ... More
21 May 2024
Speaking to HCM for its 2024-2025 Handbook, which will be out next month, PureGym managing director, Rebecca Passmore, says the company is on track to ... More
1 - 15 of 67,939
The Leisure Media Company Ltd
The Leisure Media Company Ltd