Viva Leisure (VVA) H2 2025 earnings summary

Executive summary

• Achieved record membership of 620,902 and nearly 500 locations, solidifying position as Australia's second largest fitness operator and reflecting a 60.2% CAGR since IPO.

• Revenue reached $211.3 million for FY2025, up 30% year-over-year, with statutory EBITDA rising 25.6% to $99.1 million and EPS up 47.6% to 5.24 cents.

• Net profit after tax increased 60.9% to $5.2 million.

• Technology, Payments, Licensing & Services revenue grew 127.7% to $14.8 million, highlighting high-margin digital initiatives.

• Business model is resilient, with strong organic and acquisition-driven growth, and a diversified multi-brand, multi-segment portfolio.

Financial highlights

• Revenue increased by $48.7 million, with $19.3 million from organic growth in health clubs.

• Adjusted free cash flow rose 6.8% to $32.6 million.

• Statutory EBITDA was $99.1 million, up from $78.9 million (+25.6%); pre-AASB16 EBITDA $45.9 million (+29.7%).

• NPAT reached $5.2 million, up from $3.2 million (+60.9%); EPS at 5.24c, up 47.6%.

• Technology, Payments, Licensing & Services revenue surged 127.7% to $14.8 million, now the highest margin division.

Outlook and guidance

• FY2025 run-rate guidance for revenue and EBITDA was achieved, with Q4 revenue at $57.0 million and pre-AASB16 EBITDA at $12.7 million.

• FY2026 begins with EBITDA trajectory ~7% higher than FY2025, supported by strong Q4 run-rate performance.

• Growth CapEx expected to decrease to $11 million in FY2026, supporting higher free cash flow.

• 172 new locations secured for future opening, mostly franchise, providing high-margin, low-capital growth.

• Licensing to third parties in TPLS segment to commence in FY2026.