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Gym Group revenue slumps on impact from shuttered gyms during pandemic | 15 January 2021


15 January 2021 | 09:01am
StockMarketWire.com - The Gym Group reported a slump in annual revenue after the lockdown restrictions forced to the low-cost gym operator to shutter its gyms for about 45% of the trading days in the year.
For the year ended 31 December 2020, revenue fell to £80.5 million from £153.1 million and gym membership slipped to 578,000 from 794,000 last year.
Monthly cash burn during the current closure period would be about £5 million, lower than the monthly cash burn of £6 million in the November lockdown as a result of recently announced Government grant support, the company said.
The company said it had started discussions with its lending banks, to review the future covenant tests relating to its $100 million credit facility, amid the ongoing impact from the latest lockdown and its implications for the operational reopening of its gyms. ....

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