17th Jan 2020 09:00
(Alliance News) - The Gym Group PLC on Friday reported growth in membership numbers in 2019, as it prepares to expand its estate by adding roughly 25 extra sites this year.
Revenue for the year to December 31 rose 24%, the gym operator said, to GBP153.1 million from GBP123.9 million in 2018.
The company ended the year with 794,000 members, up 9.7% from 724,000 last year. Average membership also climbed in 2019, by 15%, to 796,000 from 693,000.
The company said: "This has been another excellent year of progress for the company with strong growth in members and revenue. As a result, the company expects to deliver full-year financial results for 2019 in line with the board's expectations."
Average revenue per month rose 7.6% to GBP16.02 from GBP14.89 last year, amid a rise in numbers of members using its premium LIVE IT pricing product.
Site numbers rose by 11% to 175 at the year end, from 158 last year.
Looking ahead, the company plans to open between 15 and 20 standard-sized gyms this year, and five to eight smaller format sites.
Chief Executive Richard Darwin said: "We expanded our business by 20 sites in 2019, which included the first two of our new small box gym concept, which delivers low cost fitness to smaller towns.
"We have built scale and a strong platform over the past few years and with an encouraging start to January trading, we anticipate 2020 will be another year of significant progress."
Shares in the company were 1.7% higher at 315.20 pence each in London on Friday morning.
By Eric Cunha; [email protected]
Copyright 2020 Alliance News Limited. All Rights Reserved.
Related Shares:
Gym Grp