Dunne expects water charge to boost gym business

Businessman Ben Dunne is expecting a dividend for his gym business as a result of the household water charge.

He said yesterday he expected his gym business to enjoy a lift when the contentious water charge comes in, with people availing of hot showers at his gyms. "It has to help. With the water charges people will be able to shower cheaper at our gyms than at their own homes, and I do expect a lift in membership when it is brought in."

Membership across Mr Dunne’s network of gyms totals 55,000, and he confirmed the business recorded an operating profit of €1.8 million before depreciation in the 12 months to the end of May 31st last year. After non-cash depreciation costs of €2 million, the business recorded a €200,000 loss last year.

He said revenues at his Irish gym business increased to €9.2 million from €7.2 million last year, while the UK gym business reported turnover of £1 million, up from £600,000.

Mr Dunne currently operates seven gyms in Dublin and three in the UK. He expects revenues to be around the same in Ireland in the current year.