The Gym Group (LSE:GYM) reported a 10% increase in revenue to £133.1 million for the first half of 2026, while average membership reached 1 million and average revenue per member increased 5%.
Adjusted profit before tax rose 31% compared with the prior-year period, while statutory profit after tax increased 30%. Free cash flow was up 10% to £27.7 million.
The company used cash generated by the business to support investment in new gym openings, refurbishments and technology, alongside a share buyback programme.
The Gym Group opened four new locations during the period and has a further 11 sites under development. It expects to open at least 20 new gyms during 2026, with the expansion programme funded from free cash flow.
The company is also refurbishing existing locations as part of its Next Chapter growth plan. Other initiatives include changes to pricing, member acquisition and retention activities and additional products intended to increase revenue per member.
The Gym Group said leverage remained low and reported an expansion of its banking facilities. Based on first-half trading, the company expects its full-year results to be at the top end of market expectations.
The company reported that 94% of surveyed members rated it four or five out of five, while the proportion of members visiting a gym more than four times per month increased.
More about The Gym Group
The Gym Group plc is a U.K. low-cost gym operator providing 24-hour, no-contract memberships. It operates 264 sites and serves around 1 million members.
Its business model combines membership pricing with digital services and additional products, while its growth strategy includes opening new locations and investing in its existing estate.
According to the company, Generation Z accounts for nearly half of its membership. The Gym Group also has science-based net-zero targets validated by the Science Based Targets initiative.
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