Saudi Arabia’s Leejam Sports Company, which owns and operates a network of sports and fitness centers in the Middle East and North Africa under the name Fitness Time, has reported a year-on-year rise in its revenues and net profits of 25 percent and 65 percent, respectively, for H1 2023, while membership numbers for H1 soared by 34 percent compared to H1 2022.
The strong H1 performance was driven primarily by rising membership numbers across all segments. Moreover, Leejam continued to enrich the member experience by introducing several new services to further enhance the company’s position as a one-stop-shop with a multitude of sports, fitness, and wellness products.
Building upon a strong Q1, Leejam rounded off the first half of the year with an excellent Q2, which delivered a year-on-year increase in revenue of 30 percent to reach SR302 million ($80.5 million). The Q2 net profits also increased year-on-year, rising by 101 percent to SR72 million.
The company’s half-year results demonstrate a significant improvement in its H1 2023 performance compared to H1 2022, with revenue reaching SR579 million — a year-on-year increase of 25 percent. Net profits also rose significantly, reaching SR135 million, or a year-on-year increase of 65 percent. The company has achieved consecutive year-on-year quarterly growth since Q3 2022. Leejam’s performance was driven by several factors throughout the reporting period, including an increase in the number of operating centers, improved business management to reduce seasonality, and a lower base, despite
an increase in finance costs.
Male centers remained the primary growth driver in H1 2023. However, the company’s female centers and female membership numbers continued to grow. A total of seven new Fitness Time centers were launched in H1, in addition to 10 concept studios.
Adnan Abdullah Al-Khalaf, CEO of Leejam Sports Company, said: “Following a year of sustained progress in 2022 — and thanks to the success of the company’s product, service, and brand strategy — Leejam has delivered an exceptionally robust performance for H1 this year.
The management’s growth, resilience, and shareholder value strategy have enriched the group’s business across multiple health, wellness, and fitness vertical markets in H1. This leaves the company well-placed to keep promoting healthy lifestyles and contributing to raising the quality of life for all. Following the addition of 10 concept studios, strategic partnerships, new products and services, Leejam is meeting an important part of its diversification strategy, ensuring that it maintains a very clear point of difference and is well-placed for continued growth throughout the rest of 2023.”