PureGym, the Leeds-based budget fitness chain, has reported a pre-tax loss of £88.5m for its latest financial year, an increase from the previous year's loss of £77.6m.
In 2024, the company expanded its workforce from 6,785 to 7,579 and opened 102 new locations, as reported by .
The figures, recently submitted to Companies House, follow PureGym's announcement in April that it had boosted its turnover to nearly £605m in 2024.
The firm also reported that its EBITDA (earnings before interest, taxes, depreciation and amortisation) had grown by 10.5 per cent to £256m.
PureGym attributed its increased net loss to rising debt levels, incurred as a result of acquiring Blink Fitness.
Finance costs rose to £183.7m in 2024, up from £173.2m, and debt increased from £665.8m in 2023 to £784.7m. However, its net leverage fell from 4.4x to 4.3x.
The company highlighted increases in both its adjusted EBITDA and run rate adjusted EBITDA over the year.
Founded in 2009 by Peter Roberts, PureGym is backed by Leonard Green & Partners and KKR.
In addition to the º£½ÇÊÓƵ, the brand operates gyms in the USA, Denmark and Switzerland.
'Cost inflation remains a key challenge'
A statement approved by the board read: "Along with other businesses, cost inflation remains a key challenge but the group's business model is structurally 'low cost' and management continues to focus on limiting inflationary impacts.
"Gym costs continue to be tightly controlled in all of the key areas including rent, labour, cleaning and maintenance.
"Energy pricing was substantially fixed throughout the year and future supply contacts are locked in at acceptable and known levels through 2025.
"Alongside this, good progress has been made with energy consumption reduction and this will remain a focus going forwards."
"All of these factors, together with PureGym's market-leading revenue, pricing and performance management system, ensure the group's return on capital employed remains robust."
PureGym: Budget chain 'remains resilient'
Earlier in May, PureGym confirmed its revenue had grown by 23 per cent in the first quarter of its new financial year compared to the corresponding period in 2024.
In August 2024, PureGym appointed former Punch Pubs & Co chief executive Clive Chesser as its new CEO.
Clive Chesser succeeded Humphrey Cobbold, who took on the role of PureGym's chairman.
Regarding the company's outlook, PureGym's CEO stated: "Many challenges remain in the macroeconomic environment; cost inflation, uncertain consumer confidence and the impact of government policy. However, PureGym remains resilient.
"Management continue to be successful in addressing cost pressures and the group's relatively low staffing model means that the effects of payroll tax increases, while substantial, impact PureGym less than some other operators.
"The group's robust unit economics, in both the mature estate and new sites, continue to be pleasing, and innovations in gym offering mean that more of the market is accessible in key geographies."
