Bally Total Fitness has reported that its net revenues for the first quarter of 2004 have risen 2 per cent to $244.7m – up from $240.2m on the first quarter of 2003 – and the number of new joining members has increased 33 per cent.

The company reported a net loss for the period of $13.8m, down from $635.2m, year on year.

Losses in the first quarter of the previous year included charges of $631.6m due to accounting changes.

Bally’s chair and CEO, Paul Toback, said: “We made significant progress toward our 2004 objectives this quarter, specifically in the most important area, membership sales.

“Our most significant challenge was to turn around the downward sales trend we had experienced over the past few years,” he said. “This quarter we saw a 21 per cent increase in gross committed revenue and a 33 per cent increase in new members joining.”

Toback attributed the increase in membership sales to new pricing, marketing and customer service initiatives, which the company began rolling out during the second half of 2003, along with increased advertising and the improving economy.

“While we are very pleased with the initial results and the traction we are gaining in the marketplace, there is still much more to be accomplished,” said Toback.

“Going forward we will continue to focus on our key objectives, which include continuing the momentum in our new membership sales, generating free cash flow, increasing products and services revenue, controlling costs and becoming a superior customer service company.”