The Gym Group H1 2025 Results: Revenue, Adjusted EBITDA and Members

The Gym Group's H1 results at a glance

The Gym Group published its H1 2025 interim results on 10 September 2025, covering the six months ended 30 June 2025, according to the company's interim results.

Revenue rose 8% to £121.0 million, supported by a 4% increase in average membership and a 4% rise in average revenue per member per month, according to the interim results announcement.

Profitability improved faster than sales, while membership, cash flow and leverage all moved in a positive direction.

Revenue, adjusted EBITDA and profit

• Revenue increased to £121.0 million from £112.1 million, a rise of 8%, according to the official interim results.
• Group Adjusted EBITDA increased 16% to £48.3 million, while Group Adjusted EBITDA less Normalised Rent rose 24% to £27.4 million, according to the official interim results.
• Adjusted profit before tax increased to £4.9 million from £0.5 million, while statutory profit before tax rose to £3.3 million from £0.2 million, according to the official interim results.
• Free cash flow increased 8% to £25.1 million, while non-property net debt was £51.2 million at the period end, according to the official interim results.

The gap between revenue growth and growth in the rent-adjusted EBITDA measure is the standout point for me. It suggests the extra revenue was translating into profit rather than simply being absorbed by operating costs.

What drove The Gym Group's revenue growth?

Average membership reached 953,000, compared with 914,000 in H1 2024, while closing membership increased 5% year on year to 949,000, according to the interim results announcement.

Average Revenue Per Member Per Month, or ARPMM, rose 4% to £21.16 from £20.44, while premium membership represented 30% of the membership base at June 2025, according to the interim results announcement.

The company linked the improvement in ARPMM to higher joining fees, price increases for new members and selective repricing of base memberships, according to the interim results announcement.

That mix matters. Membership growth expands the customer base, while higher revenue per member gives the business another route to grow without depending entirely on new gym openings.

New gym openings and member satisfaction

The Gym Group reported five new sites opened year to date, including three during H1, and said it remained on track to open 14-16 sites in 2025 as part of a plan for around 50 openings over three years, according to the official interim results.

The company also said 94% of members rated it four or five out of five for overall satisfaction, according to the official interim results.

The rollout gives The Gym Group another growth lever, but execution remains important. New locations need to attract enough members and generate suitable returns without putting unnecessary strain on the balance sheet.

Debt, leverage and banking facilities

Non-property net debt stood at £51.2 million on 30 June 2025, down from £61.3 million on 31 December 2024, while adjusted leverage was 1.0x against a banking covenant threshold of 3.0x, according to the interim results announcement.

The group also increased and extended its banking facilities to a combined £102 million, with maturity in June 2028, according to the interim results announcement.

That provides some breathing room for investment, although the quality of spending matters more than the size of the available facility.

Full-year outlook

Management said trading momentum continued in July and August 2025 and expected full-year like-for-like revenue growth of around 3%, according to the interim results announcement.

The company expected full-year Group Adjusted EBITDA less Normalised Rent to finish at the top end of the analyst forecast range of £50.6 million to £52.8 million, according to the interim results announcement.

My take for investors

On balance, I read this as an encouraging update. The strongest feature is not revenue growth on its own, but the way profit growth outpaced it.

The investment case still depends on disciplined execution. Pricing must remain attractive to members, new sites must earn sensible returns, and management needs to keep the balance sheet under control while expanding.

For another company results analysis, you can read my Ten Lifestyle Group half-year results write-up.

Useful definitions

• ARPMM means Average Revenue Per Member Per Month, according to the interim results announcement.
• Group Adjusted EBITDA less Normalised Rent is a non-statutory measure that The Gym Group defines as Group Adjusted EBITDA after deducting Normalised Rent, according to the interim results announcement.