Shares in The Gym Group PLC (LSE:GYM) rose 7% after the company reported a robust 11% increase in annual revenue to £226.3 million for 2024, driven by strong trading momentum and like-for-like revenue growth of 7%.
Membership numbers grew 4% on average to 906,000, with the year ending at 891,000 members, up from 850,000 in December 2023. Average revenue per member per month rose 7% to £20.81.
The company opened 12 new sites during the year, reaching 245 locations, and reduced net debt to £61.3 million.
Adjusted EBITDA is expected to slightly exceed market forecasts, and the group plans to accelerate new site openings to 14-16 in 2025 as part of its growth strategy.
Despite added costs from changes to Employers’ National Insurance, The Gym Group anticipates 2025 earnings at the top of market expectations, supported by strong business momentum and continued investment in technology and site expansion.
In early trading, the stock was up 10p at 152p.