The Gym Group announces pre-tax profits and membership growth

The Gym Group is celebrating successful half-year results – and the ongoing benefits of its Next Chapter strategy – with like-for-like pre-tax profits up £4.4 million to £4.9 million.

Revenue increased by 8 per cent; average revenue per member rose by 4 per cent and memberships were up by 5 per cent. Trading momentum continued in July and August underpinning confidence in delivering 3 per cent like-for-like revenue growth for the full year.

Five new sites have been opened so far in 2025 and eight more are in progress, putting the low-cost operator on track to open 14-16 new sites this year, with the 250th about to launch in Tunbridge Wells. There will be around 20 more next year, all funded from free cashflow.

Confidence is high for site-hunting, partly thanks to the recent recruitment of Hamish Latchem as chief property officer, who was previously national store development director for Aldi.

Will Orr, CEO of The Gym Group, told HCM: “The trading performance has been extremely stable this year, as it was last year and we’re getting great customer satisfaction scores – 94 per cent of members rate The Gym Group four or five out of five for overall satisfaction.

“We’re also seeing lots of encouragement for the market itself, which continues to grow in terms of UK penetration. For Gen Z, and increasingly other cohorts, fitness is becoming a non-negotiable.”

Gen Z make up 40 per cent of the membership base and efforts are being made to tailor the offering more directly for this cohort, with targeted marketing on social media and a new brand aesthetic being rolled out across the estate. This is in place at eight sites already and by the end of the year 40 gyms will feature the refreshed look.

Orr says: “We’re incorporating some darker colours, different lighting, black kit and exposing more of the building features to give an industrial look. There’s also better zoning with a welcome area, workout zones and some design enhancements to the changing rooms. We're introducing some more advanced strength kit and some sought after kit, such as Booty Builder.”

At £25 a month, The Gym Group scores highly for value for money – the last lot of data showed eight out of 10. There will be some modest price increases at certain clubs to offset inflationary elements.

A collaboration with corporate wellness platform Wellhub was recently announced, which is going well. If the six-month pilot is a success it will be rolled out further, offering gym access to Wellhub's 26,000 employers.