Pure Gym Group reported a jump in revenue as more people looked to get fit and spent more doing so.
In the six months ended 30 June 2023, the gym operator posted a 17% increase in revenue to £272 million, driven by growth in membership and increased average revenue per member.
Revenue growth coupled with cost control delivered a significant increase in profitability with operating profit rising 43% to £40 million and adjusted EBITDA up 28% to £63 million.
Humphrey Cobbold, CEO of PureGym, said he is “delighted with our performance” while “demand for our low cost, flexible gym memberships remains strong”.
Membership growth in new UK gyms is performing ahead of plan despite the cost-of-living crisis while 29 new gyms were opened in the period, 20 in the UK, 2 in Switzerland and 7 under franchise in the Middle East, the company said.
PureGym now has 1.855 million members, up 11%, from 1.665 million a year ago and 582 gyms, also up 11% on the previous year.
The firm said it has a robust liquidity position of £356 million and that preparation for refinancing of bonds is well advanced and a key focus in the second half of the year.
Looking ahead, Cobbold noted: “It is satisfying to be able to report that trading since the period end in June has remained strong and we continued to move forward with 7 new corporate-owned openings since the end of the first half of the year.“