Branson-backed Virgin Active slashes losses amid WFH battle
Virgin Active, the gym chain founded by Sir Richard Branson, has significantly slashed its losses as its battle with the work-from-home trend continues.
The business, which runs 224 international locations, has reported a pre-ax loss of £78.1m for 2024, down significantly from the £146.7m it lost in 2023.
New accounts filed with Companies House also show its revenue increased from £511.4m to £576.3m over the same period.
Virgin Active’s adult membership grew by five per cent to more than one million and is now back above pre-pandemic levels.
Virgin Active is majority owned (67.6 per cent) by private equity firm Brait, which itself is controlled by South African billionaire Christo Wiese.
Sir Richard Branson’s Virgin Group holds a 16.8 per cent stake while Titan Premier Investments has a 7.9 per cent holding.
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No London listing for Virgin Active
Virgin Active was founded in the late 1990s by Sir Richard Branson and Matthew Bucknall, who stepped down as CEO in 2022.
The group’s first club was opened in Preston, Lancashire.
In November 2024, reports suggested that the billionaire majority owner of Virgin Active was looking to list the business in the UK.
However, no such move has since materialised.
Wiese bought into the brand in 2015 for £682m when plans for an IPO were cancelled.
A statement signed off by the board said: “The market fundamentals for our business remain strong and we see a growing number of consumers understanding and embracing the importance of maintaining a healthy lifestyle, not only in fitness but in nutrition and broader wellness.
“While work-from-home trends continue to impact usage levels at city clubs, we are seeing a steady uplift in city club usage and residential demand remains strong.
“These trends lay a sound foundation for further global growth for the group.”