Gym Group Plc · LSE:GYM

Gym — The Gym Group — Corporate Update (June 2026)

34 slides from Gym's corporate update, June 2026

  1. Slide 1: The Gym Group Site Visit June 2026

    THE GYM GROUP SITE VISIT June 2026

  2. Slide 2: Investment case: sustained growth from free cash flow

    Investment case: sustained growth from free cash flow Robust and growing Multiple growth drivers market …to reinvest Price optimisation in high quality Low cost new site and yield enhancement model taking expansion share New customer volume Data-driven around existing sites and tech-enabled Retentio

  3. Slide 3: Market Overview

    MARKET OVERVIEW 3

  4. Slide 4: Demand for gyms continues to grow

    Demand for gyms continues to grow Change 2012 - 25 UK Gym Market 16.6% Total +4.5 ppts 15.9% 14.6% 15.1% 4.5% 4.7% Low Cost +4.2 ppts 12.1% 3.8% 4.1% £6.5bn 0.5% Market Size Gym Rest of 11.6% 11.0% 11.4% 11.9% 10.8% Market +0.3 ppts 4.1% CAGR 2012-25 Penetration (% of Population) 2012 2022 2023 2024

  5. Slide 5: Macro consumer trends contribute to structural growth

    Macro consumer trends contribute to structural growth Fitness IQ Growing awareness of benefits; broadens equipment usage Mental Health Now a leading motivator for our members Strength Desire to feel and look strong Social Media Amplifying interest in fitness; building our community Value for Money S

  6. Slide 6: Increasing tailwind from Gen Z

    Increasing tailwind from Gen Z High & growing fitness engagement Fitness spend is a priority Key Gen Z fitness attitudes % of Gen Z exercising at least 2x per week1 % of Gen Z ranking category as 1st / 2nd priority for discretionary spend2 +11ppts Highly engaged (gym visits & frequency) (+18%) Healt

  7. Slide 7: PwC identify headroom of 600-850 additional UK low-cost gyms

    PwC identify headroom of 600-850 additional UK low-cost gyms PwC assessment of low-cost gym market ‘full potential’ This provides 10-15 years of further Number of low-cost gyms expansion for low-cost gyms Existing gyms Additional headroom 1,350 – 1,600 And potential for further growth over time 1,20

  8. Slide 8: Next Chapter Growth Plan

    NEXT CHAPTER GROWTH PLAN 8

  9. Slide 9: The Next Chapter growth plan

    The Next Chapter growth plan Drive like-for-like revenue and Create funds for future growth generate cash options Accelerate Strengthen rollout of Broaden our the core quality growth sites 9

  10. Slide 10: Gradual acceleration of site openings

    Self funded opening programme Gradual acceleration 12 new sites in 2024; 16 in 2025; 20+ in 2026 of site Increased target from 50 sites to 75 over 3 years openings Returns on new openings to deliver ROIC of 30% Working with Savills nationally as well as local agents Accelerate New site Building qual

  11. Slide 11: Increased pace of rollout with proven location criteria

    Increased pace of rollout with proven location criteria 16 new sites opened in 2025 London Stratford London Greenford London Swiss Cottage London Hendon Greater London and Urban Residential Areas with high population density London Camberwell London White City London Old Kent Road Loughborough Junct

  12. Slide 12: Strong early membership volume at 2025 new sites

    Strong early membership volume at 2025 new sites First 3 months’ performance1 Key Drivers of Out-Performance +22% 92% Data-driven site selection 76% Faster Membership Improved site design Build 2022/2023 2025 Optimised launch strategy Sites Sites Strengthen The Core improvements Higher Customer Sati

  13. Slide 13: Performance supports acceleration of self-funded rollout

    Performance supports acceleration of self-funded rollout New Site rollout and targets by year, 2024 – 2028 Maturation of 2024-25 sites generates c.75 new sites over 3 years 2025 Run Rate EBITDA LNR of c.£65m1 with an average 30% ROIC 26-30 24-28 20-22 16 12 2024 2025 2026 2027 2028 1. Run Rate EBITD

  14. Slide 14: Mature site economics

    Mature site economics New £m Mature Mature Site ROIC 30% incl. rent-free openings Include landlord contributions and rent-free periods Number of gyms 189 Number of gyms c.75 to take right commercial decision Revenue 1.0 Revenue 1.2 Excludes 13 workforce-impacted gyms that reduce 2025 ROIC by c.3ppts

  15. Slide 15: Typical site cost breakdown

    Typical site cost breakdown Spend Category Initial Capex % Policy Depr. Average Annual Cost (£k) Years Depr. Years Charge (£k) Gym Equipment Building works and related costs £1,050 70% 10-15 15 £70 Fixtures and Fittings £150 10% 5-7 6 £25 Gym Equipment £300 20% 5-10 8 £38 19% £1,500 £133 48% 70% ofm

  16. Slide 16: Site Selection & Process

    SITE SELECTION & PROCESS 16

  17. Slide 17: Site acquisition process

    Site acquisition process Turning sites into secured deals through structured appraisals and negotiations Site Identification & Feasibility • Site sourcing Governance & Governance & • Demographic profiling Approvals – Stage 1 Approvals – Final • Membership appraisal • Business case • Property Committ

  18. Slide 18: Site identification and feasibility

    Site identification and feasibility Optimising site identification to expand pipeline Spatial modelling to provide highly accurate site appraisals Cross-functional site review to leverage local insight & mitigate risks Enhancement of proposition through format optimisation Delivery & opening with co

  19. Slide 19: Elevating Our Proposition

    ELEVATING OUR PROPOSITION 19

  20. Slide 20: Elevated site design and driving value perception

    Elevated site design and driving value perception Developed with 5 core principles Build on current strengths Evolved look & feel for Gen Z Optimised kit mix for latest trends Shared spaces for socialising & clearer zoning Smart cost engineering 20

  21. Slide 21: Fly-through video shown of Lincoln Tritton Retail Park

    Fly-through video shown of Lincoln Tritton Retail Park 21

  22. Slide 22: Pricing & Revenue Management: Pricing headroom remains an opportunity

    Pricing & Revenue Management Pricing headroom remains an opportunity Continued opportunity to price ahead of inflation Value for money maintained despite increasing prices Simon-Kucher Price / Value Map (Latest View Aug 2025) TGG Value for money High TGG Headline Rate (0 to 10) Position on the chart

  23. Slide 23: Pricing opportunity remains: strong market position

    Pricing & Revenue Management Pricing opportunity remains: strong market position TGG remains the lowest cost national gym chain, with mid-market players priced 60% higher on average Average monthly fee among top gym players (£, all locations)1 Price gap to TGG £25.64 Dec 25 % Other £2 +7% £27.31 Low

  24. Slide 24: Maximising returns on enhancement capex

    Maximising returns on enhancement capex Encouraging early Data-led gym selection Refurb and re-market approach performance Newcastle East Local market member Before headroom Higher Customer Satisfaction Competitive intensity Increased Membership Volume Financial performance After Increased Prices Me

  25. Slide 25: Maintenance capex expected at c6% of revenue

    Maintenance capex expected at c6% of revenue Typical lease length of 15 years Years 1-10 maintenance spend averages £30k p.a. Mid-life refresh spend of c£300k between years 8-12, depending on usage Years 10-15 average spend c£50k p.a. Lifecycle of typical lease average maintenance capex of £50k p.a.

  26. Slide 26: Delivering against our capital allocation policy

    Delivering against our capital allocation policy 1 Maintenance Capex • Continuing at c.6% of revenue 2 Target Leverage <2.0x • Leverage Dec 2025 at 1.0x, down from 2.0x at Dec 2022 3 Organic New Site Growth • Accelerating target to c.75 sites over 3 years 4 Shareholder Returns • Commenced £10m share

  27. Slide 27: We have built good momentum

    We have built good momentum TGG Financial Performance, 2023-25, £m +10% p.a. Delivered 245 Sustainably 226 Revenue 204 2025 change vs 2023 +12.5% Social Value Created 23% EBITDA % 21% 19% Margin +5 ppts Employee engagement to 9.0 / 10.0 EBITDA LNR 57 419 39 48 People supported to Level 3 PT 2023 202

  28. Slide 28: Summary & Outlook

    Summary & Outlook 1 Large market with structural growth tailwinds 2 Advantaged, labour-light business model 3 Multiple LFL growth opportunities supporting further mature site ROIC improvement 4 Guidance upgraded for FY26: strong peak trading period +9% revenue growth, with LFL +3% 5 Significant whit

  29. Slide 29: Appendix

    APPENDIX 29

  30. Slide 30: Loughborough Junction Fact Pack

    Loughborough Junction Fact Pack Opening date Site Build Cost Member nos - appraisal 30 December 2025 £1.8m 4,000 Size of site Lease length Member nos - current 19,150 sq ft 15 years, with 10y break 3,272 Standard monthly rate Ultimate rate Nearest TGG sites £29.99 (64% of members) £36.99 (26% of mem

  31. Slide 31: Stockwell Fact Pack

    Stockwell Fact Pack Opening date Site Build Cost Member nos - current 30 March 2012 £1.5m 4,015 Size of site Lease length Member nos - ave per site 16,905 sq ft 20 years, with 15y break C3,800 Standard monthly rate Ultimate rate Nearest TGG sites £31.99 (40% of members) £40.99 (14% of members) Vauxh

  32. Slide 32: Business KPIs (5 year)

    Business KPIs (5 year) Financial (£m) 2025 2024 2023 2022 2021 YoY Revenue 244.9 226.3 204.0 172.9 106.0 8% Group Adj. EBITDA Less Normalised Rent (LNR) 1 56.7 47.7 38.5 38.0 5.7 19% Free Cash Flow1, 2 38.3 34.9 25.7 15.1 1.1 10% Expansionary Capital Expenditure1, 3 33.9 25.2 16.4 41.4 28.1 35% Non-

  33. Slide 33: Advantaged business model

    Advantaged business model Revenue – Virtuous Circle • No contract & flexible membership options drives c.3x volume of members compared with contract gyms • High value, low cost model drives highly competitive headline rates Kit-led gyms • Gyms are kit-led • Kit focus reduces gym team size • No pools

  34. Slide 34: Forward-looking statement disclaimer

    Forward-looking statement disclaimer This presentation and information communicated verbally to you may contain certain projections and other forward-looking statements with respect to the financial condition, results of operations, businesses and prospects of The Gym Group plc. These statements are

The Gym Group — Corporate Update (June 2026) on 6ix