Viva Leisure, which owns the Plus Fitness franchise chain, has achieved a half year revenue of $34 million, which although is down $2 million on the same period last year does reflect the lockdown constraints which hit the fitness sector particularly hard in 2021.

Viva Leisure CEO and managing director Harry Konstantinou said “We have remained focused on our operational plans and growth aspirations even with Covid lockdown constraints creating earnings headwinds across the health club industry in the first half.

“We  continued to invest in club acquisitions and greenfield locations, growing our footprint to 325 locations  across five states and territories in Australia and three countries.”

Harry said “Plus Fitness has sold more than 23 new territories that are expected to open in the next 12 months, five planned to be open before the end of June.

“We have resourced the business and prepared it as part of its new branding and look-and-feel strategy to continue to grow in FY23,” he said.

“We remain dedicated to providing an exceptional member experience and providing a fitness environment that meets our members’ needs.”

As the franchise network expands there will be more opportunities for a diversified income, he said.

“For example we will start to see our VivaLabs team start to generate revenue as part of licencing our membership, access control, direct debit and other technologies to the Plus Fitness network.”

Viva Leisure plans to franchise its most recent brand acquisition, Rebalance Pilates & Yoga, as well as its Hiit republic fitness concept.

“With approximately 10 Rebalance and 23 hiit republic locations now operating, the foundations to start growing the franchising part of these brands has already been laid,” Harry said.

Viva owns 12 health club and fitness brands, predominantly corporate owned. Last year’s purchase of eight Rebalance studios as well as the master franchisor rights and IP adds to the multi-brand portfolio.

“We are preparing the business to start franchising Rebalance shortly, but will continue to open corporate-owned locations.  We expect to have all the systems, processes, documentation, and training in place to offer territories for sale by the end  of 2022.”