Dunne’s gyms generate operating profit of €1.5m

The gym business operated by Ben Dunne generated operating profits of €1.5m last year. In an interview, Mr Dunne said yesterday that his gym business had its two best months of growth in March and April in the past five years.

Mr Dunne said for the coming year, he is projecting growth rates of 15% based on the March-April performance after a flat 2014.

He said the revenues at the 10-strong network of gyms last year topped €10m with operating profits of €1.5m after depreciation and interest are taken into account. The business comprises of seven gyms in Dublin and three in Manchester and Liverpool.

The business has 52,000 members and Mr Dunne said that the Irish gyms last year recorded 2.2m visits.

Mr Dunne confirmed he has invested €16m of his own money into the business.

“The business has got through the toughest time with the way the economy has been and I am optimistic for the year ahead based on the March and April performance,” he said.

The network of gyms employs 60 full time people. Mr Dunne was commenting on accounts filed by Barkisland (Developments) Ltd showing a €42,338 drop in accumulated profits last year going from €3.316m to €4.274m.

He said the Barkisland figures represent the returns his ‘wet gyms’ that include swimming pools with the business’s ‘dry gyms’ performing much stronger.

The drop in accumulated profits at Barkisland follow an increase in accumulated profits by €23,148 from €4.29m to €4.3m in 2013.

The best performing firm in the Barkisland group was Carlisle Health and Fitness Club Ltd that recorded profits of €228,921 last year.

The cashpile at Barkisland (Developments) Ltd last year reduced from €653,043 to €431,475.

The company last year had management fees of €755,000 with group companies and an additional €264,365 in management fees with connected companies. The value of Barkisland’s financial assets total €13.2m.