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Gym Group PLC on Wednesday said it expects to deliver full year results at the top end of market expectations after a strong first half. Shares in the London-based gym operator jumped 8.9% to 148.80 pence each in London on Wednesday morning. Pretax profit ballooned to £3.3 million in the six months to June 30 from £200,000 the year prior, or to £4.9 million from £500,000 on an adjusted basis. Revenue rose 7.9% to £121.0 million from £112.1 million, with like-for-like growth of 3%. Average membership numbers rose 4% in the period, with average revenue per member per month also up 4%, and closing membership up 5% year on year. Chief Executive Will Orr commented: ‘Our high value, low cost proposition continues to resonate, with members visiting the gym more often than ever.’ Gym Group said both mature sites and new sites are performing well, with pricing supporting yield growth. Five new sites have been opened year to date, with three in the first half, and work is currently ongoing at a further eight. Gym Group said it is on track to open 14 to 16 new sites in 2025, in line with plans to open around 50 sites over three years, funded from free cash flow. Free cash flow improved 7.7% to £25.1 million from £23.3 million a year ago. CEO Orr said ‘encouragingly’, the sites opened this year, ‘which reflect new design features, are performing ahead of expectations.’ The company said trading momentum has continued in July and August, underpinning confidence that it will deliver around 3% like-for-like revenue growth for the full year. In 2024, Gym Group reported revenue of £226.3 million, itself up 11% from £204.0 million in 2023. The firm expects full-year adjusted earnings before interest, tax, depreciation and amortisation, less normalised rent, to be at the top end of analysts’ forecast range of £50.6 million to £52.8 million, up from £47.7 million in 2024. In the first half of 2025, adjusted Ebitda less normalised rent jumped 24% to £47.7 million from £38.5 million a year ago. Orr said: ‘In a growing sector, we have once again increased membership, revenue and profit and are well set to deliver full year results at the top end of market expectations.’ Copyright 2025 Alliance News Ltd. All Rights Reserved.
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