The Gym Group (GYM) H2 2025 earnings summary

Executive summary

• Revenue grew 8% year-over-year to £244.9m, with closing membership up 4% and yield up 4%.

• EBITDA less normalized rent rose 19% to £56.7m, and statutory profit before tax increased 196% to £7.4m.

• Opened 16 new sites in 2025, at the top end of guidance, with strong early performance and all funded from free cash flow.

• Free cash flow improved 10% to £38.3m, supporting accelerated rollout and investment in new sites and technology.

• Market share and brand awareness increased, with a focus on value, convenience, and digital engagement.

Financial highlights

• Average members reached 945,000, up 4% year-over-year; average revenue per member per month up 4% to £21.60.

• Statutory profit before tax was £7.4m, up nearly 200% year-over-year; adjusted diluted EPS rose 83% to 5.3p.

• Free cash flow increased 10% to £38.3m, enabling site expansion and net debt reduction.

• EBITDA margin improved to 23%, up 2 percentage points year-over-year.

• Adjusted leverage ratio improved to 1.0x from 1.3x; non-property net debt reduced to £59.3m.

Outlook and guidance

• Expect to open 20-22 new gyms in 2026, with CapEx of £60-65m, all funded from free cash flow.

• Like-for-like sales growth expected at circa 3% and site cost inflation at 3-4%, with first-half weighting.

• 2026 EBITDA less normalized rent expected at the top end of analyst forecasts (£59.6m–£60.7m).

• Revenue YTD up 9% vs Feb 2025; membership at 999k (+8% vs Dec 2025).

• Central costs projected to drop below 11% of revenue.