Former Dragons’ Den investor impressed as his Northern Ireland health club sees profits restored as business 'turns the corner' since pandemic

The Bannatyne Group, which operates the Bannatyne Health Club & Spa in Belfast, has seen profits restored in the first set of financial results published since the end of the Covid-19 pandemic.

The business, owned by serial entrepreneur and former BBC Dragons’ Den investor, Duncan Bannatyne OBE, has seen its EBITDA profit more than double to £29.6m and a pre-tax loss of £12.9m turn into a pre-tax profit of £1m in the year ending December 31 2022.

The company has focused on growing membership and paying down the pandemic era debt, with an expectation that all Covid-19 loans will be paid off in the first half of next year. During the pandemic gyms and health clubs were closed for longer than all other businesses and losses and additional borrowing affected all operators in the sector.

Duncan Bannatyne OBE, chairman of the Bannatyne Group, said: “The business has turned the corner following the difficult Covid period. During 2022 we turned a loss into a profit, more than doubling EBITDA to reach £29.6m. Turnover was up from £75m to £127m and membership grew by 10.7% in this financial period. It currently stands at 210,000 with a sector leading retention rate of more than 95%. We are also on track to pay off all our Covid loans next year.”

He added: “The performance is especially impressive, as over recent years the company experienced high impact increases in minimum wage, energy, and interest rates, adding £11m to our planned costs. The hard work of our leadership team puts the business in a positive position for further growth in the years ahead.”

The accounts were submitted to Companies House on 27/9/23.