Basic Fit drops on challenging FY targets amid falling consumer confidence

Basic-Fit

20/10/2023 09:17

** Shares in Basic Fit  BFIT.AS  fall almost 5% after the
Dutch discount gym chain reiterated an outlook seen as
challenging by analysts against a backdrop of falling consumer
confidence
    ** Although positive on club openings, KBC notes falling
consumer confidence and rising interest rates could have a
negative impact on membership growth
    ** The group confirmed 2023 prospects of revenues of at
least 1 billion euros, a club network that will grow by at least
200 clubs, a target of least 3.8 million members and an average
revenue per member per month of at least 23.50 euros
    ** However, membership growth is disappointing despite the
QoQ recovery seen, ING says in a note, as the group reported
3.71 million memberships at the end of quarter, slightly below
the broker forecast at 3.72 million
    ** "Basic-Fit does have quite a few campaign running still
and they do have good experience in the success rate of a
campaign hence the outlook seems reachable but not with a
margin," the broker says
    ** Share on track for its worst day since Nov. 2022, when it
closed 7.0% lower

    
    



 (Reporting by Diana Mandiá)
 ((diana.mandiaalvarez@thomsonreuters.com))