Bannatyne Group sees jump in profits as memberships rise

The firm said its increase in profits came due to a sustained increased membership, dynamic pricing to offset increasing costs, efficiency gains through automation in the back office and continuous vigilant cost control

Mr Bannatyne, who is chairman and chief executive of the Bannatyne Group, said: “These results demonstrate what can be achieved when a great team works together to turn things around.

"We encountered our first loss during COVID and the post pandemic period has required real focus on core activities and delivering what members want at the right price.

"This has succeeded and we have returned to the level of profits that we were targeting five years ago.

“Like all leisure businesses we are facing headwinds brought about by ill-considered government policies which are increasing our costs.

"However, the introduction of new classes, new technology and the significant rolling upgrade programme for our buildings and facilities will help us to maintain the loyalty of our members as we strive for sustainable growth in 2025.”

The company’s memberships rose from 215,659 in 2023 to 219,500 in 2024.

The firm also posted earnings before interest, taxes, depreciation, and amortisation of £43.6m, up from £38.3m in 2023.

Bannatyne Group said that it had also made what it described as a “significant number of investments” in its health clubs to “reflect the increasing popularity of resistance and functional training.”

Padel courts, reported to be the world’s fastest growing sport, are also being built at the company’s Ingleby Barwick in Stockton and Chafford Hundred in Essex sites, with more expected to be built in the future.

The Bannatyne Group currently operates 67 clubs, 44 spas and three hotels.

The company also holds multiple sites in Yorkshire, including in Barnsley, Leeds, Wakefield and York.

Speaking on the firm’s staff, Mr Bannatyne added: “The culture at the business has embraced a team mentality, staff are engaged in our success and people retention has improved by eight per cent.

“Like our members, we have become leaner and stronger and are concentrating on staying fit for the future.”