The chief executive of a national gym chain has revealed that the rise of weight-loss medications is driving increased demand across its fitness centres.
Will Orr, who heads the low-cost gym chain, The Gym Group, said the company was “absolutely” observing the impact of GLP-1s as a “tailwind and contributory factor” for its business.
He views the trend as an opportunity “to help people sustain the results that might come from GLP-1s”.
This comes as recent academic studies highlight the necessity of exercise and dietary support for individuals using these drugs.
Research from the University of Oxford last week indicated that those on fat-loss jabs require continuous assistance to prevent weight regain.
Separately, findings from University College London (UCL) and the University of Cambridge suggested that users of these medications could be susceptible to muscle loss, further underscoring the need for fitness regimes.
Mr Orr said building strength at the gym was important for people on these jabs, as “GLP-1s can reduce muscle density”.
Analysts at Peel Hunt cited GLP-1 medications, along with Gen Z viewing fitness as “mandatory”, as being key contributors to continued demand for the group’s gyms, as it said the company “should be a core leisure holding with plenty of growth to look forward to”.
But Mr Orr said he thought there was a wider health trend that was there before GLP-1s, calling health, fitness and wellness “juggernaut trends that are not going anywhere”.
The comment came as The Gym Group announced plans to open 75 new sites over the next three years, 25 more than previously stated, after reporting strong revenue growth and rising membership numbers.
The firm reported strong top-line growth in a pre-close trading update on Tuesday, with like-for-like revenue up 3 per cent year-on-year, while total revenue rose 8 per cent to £244.9 million for the year ended December 31.
Owing to its strong trading performance, the firm now says it expects to open 75 new sites over the next three years, up from 50, with 20 new sites set to open in 2026.
Mr Orr said the company sees “significant opportunities ahead in a market with structural growth tailwinds”, and will therefore accelerate its “organically funded rollout to around 75 new sites over the next three years”.
Gym membership also grew by 4 per cent over the year, up from 891,000 to 923,000.
The company has previously pointed to strong demand from health-conscious Gen Z helping to boost membership numbers, with around 40 per cent of members now coming from the younger generation, highlighting interest in the group’s value-focused offer.
The Gym Group currently operates 260 sites across the UK, with around 70 million visits a year.
“We entered the key new year member recruitment period well prepared, and our high-value, low-cost offering, enabled by an advantage business model, continues to resonate strongly with consumers”, Mr Orr said.
Analysts at Jefferies said the group’s trading update demonstrates an “all-round positive performance”, citing “positive openings, yield progress and membership gains”, and said they expect the momentum to continue into 2026.
The group also said it met its target of opening between 14 and 16 sites in 2025, completing 16 openings during the year.
It also announced plans to begin a £10 million share buyback programme, funded by surplus cash, which is expected to be completed by the end of 2026.
The Gym Group is due to publish its full-year results on March 11.
