In This Article:
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Club Network Expansion: Expanded by 168 clubs in the first nine months, reaching a total of 1,570 clubs.
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Revenue Growth: Revenue for the first nine months grew by 70% year on year to EUR 892 million.
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Membership Growth: Membership base increased to 4.2 million, a 13% increase year on year.
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Average Revenue per Membership: Increased to EUR 23.86 per month from EUR 23.28 last year.
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Projected Revenue: Expected full-year revenue between EUR 1.2 billion and EUR 1.25 billion.
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EBITDA Outlook: Underlying EBITDA less rent projected between EUR 305 million and EUR 330 million, representing 17% to 26% growth.
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Free Cash Flow Projection: Free cash flow before new club expansion projected between EUR 2.60 and EUR 2.95 per share, 24% to 41% higher than in 2023.
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Return on Invested Capital: Targeting over 30% for mature clubs.
Release Date: October 18, 2024
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Basic-Fit NV (BSFFF) reported strong growth figures over the first nine months, with revenue increasing by 70% year-on-year to EUR 892 million.
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The company expanded its club network by 168 clubs, reaching a total of 1570 clubs, with significant growth in Spain and Germany.
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Membership base grew to 4.2 million, representing a 13% increase year-on-year, with Spain showing the strongest performance.
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The average revenue per membership per month increased to EUR 23.86, up from EUR 23.28 in the same period last year.
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Basic-Fit NV (BSFFF) is on track to achieve its full-year targets, including expanding the club network to around 1575 clubs and achieving revenue between EUR 1.2 billion and EUR 1.25 billion.
Negative Points
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The average revenue per member per month is expected to be slightly lower than previously communicated, at EUR 24.25 instead of at least EUR 24.50.
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There is uncertainty regarding VAT increases in the Netherlands and Spain, which could impact pricing strategies.
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The company is facing challenges with the 2020 and 2021 club cohorts in France, which are still behind but showing slow improvement.
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The introduction of weekly pricing in France has not yet shown significant changes in membership growth or revenue.
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The potential impact of activist shareholders and their advice remains a consideration for the company's strategic decisions.
Q & A Highlights
Q: What are your thoughts on the advice from the activist shareholder? A: Rene Moos, CEO: We always consider what's best for the company and stakeholders. The letter wasn't a surprise, and we're happy to be listed. It's not a top priority currently.