Key Performance Indicators

We use a number of financial and non-financial key performance indicators (‘KPIs’) to measure our performance over time. We select KPIs that demonstrate the financial and operational performance underpinning our strategic drivers.

  • Revenue (£m)

    2023 204.0
    2022 172.9
    2021 106.0
    2020 80.5
    22 / 23
    +18%

    Definition

    Revenue is generated from membership fees, non-refundable joining fees, rental income from
    personal trainers and other ancillary services, including the sale of goods through vending machines, advertising through the use of media screens and the sale of day memberships.

     

    Link to 2023 strategy

    High quality estate

    Compelling member experience

    Innovative technology and marketing

     

    2023 performance

    Revenue for the year increased by 18%, with average members up 8% to 872,000 (2022: 808,000), and average revenue per member per month (‘ARPMM’) up 9% to £19.50 (2022: £17.82). Like-for-like revenue grew 8% year on year.

  • Return on Invested Capital %

    2023 19.4
    2022 20.0
    2021 18.0
    2020 18.0
    22 / 23
    -60bps

    Definition

    Group Adjusted EBITDA Less Normalised Rent contributed by mature sites, divided by total
    capital initially invested in the mature sites. Mature sites are defined as those sites that have
    been open for 24 months or more at the period end and

     

    Link to 2023 strtegy

    High quality estate

    Compelling member experience

    Innovative technology and marketing

     

    2023 performance

    Declined slightly in the year as utilities and fixed cost increases more than offset revenue growth in the mature sites. 

     

  • Group Adjusted EBITDA less normalised rent (£m)

    2023 38.5
    2022 38.0
    2021 5.7
    202 -10.2
    22 / 23
    +1%

    Definition

    Operating profit before depreciation, amortisation, long term employee incentive costs and non-underlying items and after deducting Normalised Rent.

     

    Normalised Rent is the contractual rent that would have been paid in normal circumstances without any agreed deferments, recognised in the monthly period to which it relates.

     

    Link to 2023 strategy

    High quality estate

    Compelling member experience

    Innovative technology and marketing

     

    2023 performance

    Increased by 1% in the year asthe increase in revenue noted above was largely offset by cost inflation, particularly in utilities and staff. 

  • Adjusted Leverage (x)

    2023 1.7
    2022 2.0
    2021 7.7
    2020 -4.6
    22 / 23
    0.3x

    Definition

    Non-Property Net Debt divided by Group Adjusted EBITDA Less Normalised Rent.

     

    Non-Property Net Debt is defined as bank and non-property lease debt less cash and cash
    equivalents and is the leverage measure used in the Group’s banking covenants

     

    Link to 2023 strategy

    High quality estate

    Compelling member experience

    Innovative technology and marketing

     

    2023 performance

    Adjusted Leverage improved in the year, reflecting an increased uptake of pay-up-front and student products and careful working capital management, together with fewer new site openings funded entirely from free cash flow. 

  • Free Cash Flow (£m)

    2023 27.0
    2022 16.7
    2021 2.0
    2020 -16.6
    22 / 23
    +63%

    Definition

    Group Adjusted EBITDA Less Normalised Rent and movementin working capital, less maintenance capital expenditure, cash non-underlying items, bank and non-property lease interest and tax. 

    See Note 24 to the Consolidated financial statements for a reconciliation to Net cash inflowfrom operating activities. 

     

    Link to 2023 strategy

    High quality estate

    Compelling member experience

    Innovative technology and marketing

     

    2023 performance

    Increased by 62% in year, reflecting an increased uptake of pay-up-front and student products and the normalisation of rent payments. 

  • Total Number of Gyms

    2023 233
    2022 229
    2021 202
    2020 183
    22 / 23
    +4 sites

    Definition

    Number of gyms open at the end of the year.

     

    Link to 2023 strategy

    High quality estate.

     

    2023 performance

    Increased by a net four during 2023, as the Group opened six new sites and closed two city centre workforce-dependent sites

  • Total Number of Members ('000)

    2023 850
    2022 821
    2021 718
    2020 578
    22 / 23
    +4%

    Definition

    Total gym memberships at the end of the year.

     

    Link to 2023 strategy

    Compelling member experience

    Growing sustainably

     

    2023 performance

    Closed the year with 850,000members, an increase of 4% on 2022, and reflecting the full year impact of sites opened in 2022, as well as the incremental volume from new sites opened in 2023. 

  • Average Revenue per Member per Month (£)

    2023 19.50
    2022 17.82
    2021 17.60
    2020 17.20
    22 / 23
    +9%

    Definition

    Revenue divided by the average number of members divided by the number of months in the period.

     

    Link to 2023 strategy

    High quality estate

    Compelling member experience

    Innovative technology and marketing

     

    2023 performance

    Increased by 9.4% in 2023, driven by an increase in the average headline price of a Standard membership of £1.67and an increase in the take-up of our premium product, Ultimate, (from 29.6% of total members in2 022 to 31.7% in 2023). 

  • Members that visit 4+ Times in a Month %

    2023 50.8
    2022 47.2
    2021 32.6
    2020 23.9
    22 / 23
    +3.6

    Definition

    The percentage of total members that have visited the gym four or more times in a month, calculated as a rolling 12 month average.

     

    Link to 2023 strategy

    Compelling member experience

    Sustainablility

     

    2023 performance

    Increased again in 2023, demonstrating that members continue to get significant value from their gym membership.  

    Research shows that people who visit the gyms 4+ times per month are also more likely to continue their membership and gain significant health benefits from it which, in turn, drives increased Social Value. 

     

    .

  • Employee Engagement Score

    2023 8.5
    2022 8.4
    2021 7.6
    2020 6.4
    22 / 23
    +10bps

    Definition

    A measure of how committed and enthusiastic employees are about their work and the organisation. 

    We use four engagement categories (Engagement, Belief, Loyalty, Satisfaction) to calculate a score on a 0-10 scale,and all responses are averaged out to give a score out of 10. 

    In 2023, we changed the way we measure employee engagement. We partnered with Peakon, an engagement specialist, and adopted a more accurate and comprehensive approach using a 0-10 scale rating system, moving away from a percentage score (Top Box). 

     

    Link to 2023 strategy

    Unique team and culture

     

    2023 performance

    In 2023, we continued to make progress with employee engagement and achieved an engagement score of 8.5 out of 10, with a 90% completion rate. The score of 8.5 puts us in the top 25% in Peakon’s consumer services benchmarking for overall engagement.