Gymshark: Record sales as brand continues global expansion
Gymshark, the activewear brand co-founded by self-made billionaire Ben Francis, has seen its revenue pass £600m for the first time.
The Solihull-headquartered business has posted sales of £607.3m for the year to 31 July, 2024, new accounts filed with Companies House have revealed.
The latest total comes after Gymshark reported a revenue of £556.2m in its prior 12 months.
The rise in revenue means that the business has increased its sales for a 12th consecutive year.
But despite the rising sales, the company’s pre-tax profit fell for the third year in a row.
Gymshark’s pre-tax profit declined for the first-ever time in the year ending July 2022 and fell from £27.8m to £13m in the 12 months to July 2023.
The company’s latest accounts show that its pre-tax profit has fallen further to £11.8m.
In a statement, the business said it is continuing to “strategically invest in its well-documented omnichannel expansion, with stores confirmed in London, New York, Dubai, Amsterdam, Manchester, Bicester, and a New York City headquarters to drive its US business alongside continued investment into the digital technology stack which underpins Gymshark’s e-commerce business”.
Gymshark’s adjusted earnings before interest, taxes, depreciation and amortisation (EBITDA) rose by 14 per cent to £51.7m.
The company added that its orders increased by 14.1 per cent, units sold rose by 13.6 per cent and international sales grew by 5.9 per cent.
Gymshark’s US revenue edged up from £250.4m to £251m in the year while its UK sales rose from £111.7m to £136.4m.
The firm’s European sales, excluding the UK, surged from £129.4m to £145.7m and its revenue in the rest of the world went from £64.5m to £74m.
Over the year, the company’s headcount increased from 853 to 881.
Gymshark was founded by Ben Francis and Lewis Morgan in 2012. In 2020, it was valued at more than £1bn when US private equity firm General Atlantic acquired a 21 per cent stake.
Gymshark boss: ‘No secret retail is feeling the strain’
CEO Ben Francis said: “Despite well-reported economic turbulence, FY24 represented another strong year of growth for Gymshark.
“We broke the £600m barrier for the first time, and adjusted EBITDA rose by double-digit numbers.
“Looking to the future, it’s no secret that the retail sector is feeling the strain from macro-economic pressures.
“As such, we are ensuring we have a heightened focus on controlling our expenditure, so we are best set up to become a fully omnichannel business and realise our dream of becoming a 100-year brand continuing to make the best gym products for our consumers.”
Ben Francis quits sports talent agency
The latest results come after City PM reported last week that Ben Francis had quit the sports talent agency he helped to establish.
The Members Agency was set up in 2018, is based in Wolverhampton and also works on sports sponsorship deals.
According to a new filing with Companies House, Francis has stepped down as a director and is no longer listed as a person with significant control over the business.
He had originally been appointed as a director on 1 August, 2018, and held a stake of more than 25 per cent.
Former Gymshark chairman and AllSaints co-owner Paul Richardson has also stepped down alongside Noel Mack, the chief brand officer at Gymshark.
In December 2024, City PM reported that Gymshark’s chief financial officer had abruptly departed the business after two years in post.
In September last year, Gymshark named bodybuilder Chris Bumstead as a new shareholder.