Irish athleisure brand Gym+Coffee is enjoying ‘significant growth’ in 2022 on the back of new store openings.
That is according to co-founder and CEO of the business Niall Horgan, who confirmed that the brand is to make its biggest store investment yet with a new outlet due to open at Dundrum town centre over the next number of weeks.
The athleisure brand, backed by Brian O’Driscoll and singer-songwriter Niall Horan, currently operates 13 outlets and is aiming to open a further four in 2023.
Mr Horgan was commenting on new accounts which show that Gym Plus Coffee Ltd recorded losses of €183,424 in 2021 as the business continued to expand.
Mr Horgan said that the business was ‘healthily profitable on the operating basis’ last year and the loss emerged from one-off expansion and fundraising costs.
The accounts state that during 2021, the firm entered into financing arrangements raising €3m.
Mr Horgan stated that the one-off costs include moving the business’s logistics and distribution centre to the UK.
The post-tax losses of €183,424 followed post-tax profits of €928,879 in 2020.
Mr Horgan said that the business currently employs 170 people, and with the new store opening at Dundrum and other roles to be filled “we will be pushing towards 200”.
Revenues this year “will be significantly up” on last year, he said, when the company recorded revenues of around €20m.
This year, the business has opened new units in Belfast and Limerick and upgraded stores in Liffey Valley and Kildare Village.
Mr Horgan said that the opening of the outlet at Dundrum “will be a great moment for us”.
“Dundrum was our first two-week pop-up lease that we took and it has been a phenomenal success for us. Now we are taking a 10-year lease and putting significant investment into the fit out and elevating the experience for customers to the next stage retail.”
He commented: “It is a bigger unit and a bigger space and an opportunity to put deeper roots in Dundrum.”
Mr Horgan said that overall, 2022 has been a “successful year” and the firm has raised funding of €17m led by Castlegate investments, alongside West Ventures, a Californian investment and marketing firm.
Mr Horgan said that the €17m funding provides “a great runway for further expansion in the years to come”.
The business currently operates nine stores here and four in the UK with Mr Horgan stating that the new store openings for 2023 will be focused in the UK.
The company’s cash funds last year increased from €5.53m to €9.43m