Viva Leisure, parent company of Plus Fitness, boasts record metrics early in the new fiscal year.
CEO and managing director Harry Konstantinou said “We are delighted with the performance of the business, with all key metrics for the first two months of FY23 exceeding management expectations and being significantly above pre-Covid levels.”
August saw a record average monthly revenue run rate of $11.1 million. This was a rise of 42 per cent this calendar year.
Konstantinou said “This is an important forward lead indicator of revenue growth, with an annualised revenue run rate of $130.2 million at the end of August. The growth in revenue run rates was underpinned by record portfolio utilisation of 70.2 per cent (post-Covid), on the back of successful local marketing campaigns.”
In FY22 the company’s $34 million half-year revenue dropped $2 million from the previous corresponding period, reflecting the lockdown constraints of 2021, Konstantinou said.
Now he’s focused on growth and reported the company hit another record with membership rising by 28,000 to total 325,000.
“We have also reached a tipping point where for the first time our more profitable Viva-owned members, who now number 163,000, exceed our 162,000 Plus franchisee members,” he said.
Average revenue per member per week increased to a record $14.94 in August 2022, up from $14.59 in June 2022 and an increase of 5.8 per cent on December 2021.
“Higher yielding membership options for our hit republic and GroundUp facilities also provided a positive impact,” Konstantinou said.
The corporate gym portfolio grew with the second corporate greenfield Plus Fitness site opening in Sydney’s, Glebe, and the acquisition of Plus Fitness Hocking in Western Australia.
The company has three further acquisitions due to settle within a month in Western Australia. A dozen sites are in the pipeline for opening this financial year across Queensland and Victoria.
