The Gym Group has announced positive trading momentum has continued through the second half of 2024, with members, revenue and the number of clubs rising.

Revenue for the year ended 31 December 2024 increased by 11 per cent to £226.3 million, up from £204 million in 2023, with like-for-like revenue growing 7 per cent year on year.

Average members grew 4 per cent to 906,000 and average revenue per member per month was up 7 per cent to £20.81.

The year closed with 891,000 members compared with 850,000 at 31 December 2023, an increase of 5 per cent.

Net debt as at 31 December 2024 was £61.3m, compared with £66.4m at 31 December 2023.

CEO, Will Orr, says: “We have delivered strong progress and momentum in our Next Chapter growth plan, that will result in FY24 profits ahead of the top end of previous guidance. There is plenty more still to come as we execute our plan and we look to 2025 with confidence.

“We're well prepared for our key member recruitment period in the current quarter and beyond, with our strengthening new site pipeline and our flexible, high value, low cost offer making gym membership more accessible for all.

“We expect to accelerate new site openings to 14-16 sites in 2025 and remain on track to deliver the target of around 50 sites over three years funded from free cashflow, in line with our Next Chapter growth plan,” said Orr.

The Gym Group was at the top end of its growth plans in 2024: opening 12 new sites, and closing none, to bring the total estate to 245. With its new sites The Gym Group is aiming for a 30 per cent ROIC.

As it fine tunes the portfolio, the Birmingham City site will close on 7 February and members will be offered the opportunity to relocate to one of the five TGG sites nearby. There is a total of 11 The Gym Group sites in the city.

Taking into account the momentum in the business, even allowing for extra costs of around £1.3 million as a result of the rise in National Insurance Contributions, the FY25 group adjusted EBITDA, less normalised rent, is at the top end of the current market forecast range of £47.2 million - £49.7 million.