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(Sharecast News) - Wednesday will bring half-year results from Energean, Gym Group and Eurowag, as well as full-year results from Frontier Developments.
Previewing Gym Group's results, Shore Capital said it expects continued revenue and EBITDA growth and further evidence of the medium-term profit opportunity, with the recent update from peer PureGym implying momentum has continued into the third quarter.
"Pricing, membership growth, new openings and improving returns remain the key drivers, and we expect the results to focus on these opportunities," the broker said.
Shore noted that Gym Group is targeting 75 new gyms by the end of FY28, including at least 20 in FY26, weighted to the second half. "We expect an update on the phasing of openings, with four sites opened in H1, and on how recently opened gyms are tracking against targets," it said.
It added that delivery of the 75-site pipeline could add circa £35m of mature site-level EBITDA, based on targeted unit metrics, providing "a significant driver" of future profitability and returns.
Shore has a 'buy' rating and 280p price target on the stock.
On the macro front, China is due to release CPI and PPI data for August overnight. Danske Bank said: "After a drop from 4.1% y/y to 3.5% y/y last month, we look for PPI inflation to be broadly flat at 3.5% y/y in August, mainly driven by flat commodity price inflation. Headline CPI is expected to rise to 0.9% y/y from 0.5% y/y, partly lifted by food and energy inflation."
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