Latest News

Back to Latest News back


Ardent Leisure suffers profit dip

Ardent Leisure suffers profit dip
February 19, 2015

Lower than expected profit results released by Ardent Leisure led to the Group’s shares falling by more than 15% on Wednesday. 

Weaker earnings from its Goodlife Health Clubs division dragged net profit down 16% to $18.8 million for the half year to 31st December.

As result investors pushed Ardent's shares down 44 cents (15.9%), to $2.33 at the close of trade on Wednesday (18th February).

Lower profits from the normally strong performing Goodlife apparently stemmed from a trial of a new flexible membership plan, which resulted in more people leaving the gyms than joining.

To address the membership decline, Ardent Chief Executive Greg Shaw announced the fast tracking of many clubs to 24/7 trading statues.

Shaw told AAP that the move “will enable us to lower our operating costs, particularly during some of our peak trading periods which are weekends and public holidays.

However, analysts fear that the problems at Goodlife won't be easy to overcome.

CMC Markets Chief Analyst Ric Spooner “this could potentially be an ongoing problem.

"So investors appear to be taking a safety-first approach and will want to see some evidence of this situation stabilising."

Ardent's US-based family entertainment centre chain, Main Event, partially offset the slide in Goodlife's earnings.

The Texas-based division's earnings rose by 61.5%, driven by five new centre openings and the positive impact of falling oil prices on discretionary spending.

Shaw added “we've almost seen a direct correlation of traffic through the centres with the lowering of fuel prices.”

Meanwhile, earnings from Ardent's Gold Coast theme parks – Dreamworld, WhiteWater World and SkyPoint - fell marginally during the first half, but have since recovered after a solid January.

Shaw predicted a lower Australian dollar to encourage an increase in domestic as well as international tourism to the amusement parks, concluding "it's becoming more and more economic for Australians to holiday at home.”

Ardent Leisure also operates AMF and Kingpin Bowling along with d'Albora Marinas.

Related Articles

18th February 2015 - Goodlife bolsters full-service offering with 24/7 announcement

29th October 2014 - Ardent Leisure earnings again boosted by fitness and US earnings

18th February 2010 - Ardent Leisure suffers revenue fall

9th March 2009 - Earnings increase for Macquarie Leisure

Asking a small favour
We hope that you value the news that we publish so while you're here can we ask for your support?

The news we publish at is independent, credible (we hope) and free for you to access, with no pay walls and no annoying pop-up ads.

However, as an independent publisher, can we ask for you to support us by subscribing to the printed Australasian Leisure Management magazine - if you don't already do so.

Published bi-monthly since 1997, the printed Australasian Leisure Management differs from this website in that it publishes longer, in-depth and analytical features covering aquatics, attractions, entertainment, events, fitness, parks, recreation, sport, tourism and venues management.

Subscriptions cost just $90 a year.

Click here to subscribe.


supplier directory

The Complete Guide to Leisure Industry Products & Services.

See the directory see all


The Fitness Generation is now part of NovoFit - see

read more

Fitness / Technology / Wellness



With its sleek good looks and easy-to-use yet powerful functionality, Envibe is the premium fitness club software for the Australasian leisure, recreation and fitness industry. We are the most…

read more

Aquatics / Fitness / Recreation / Technology


Aflex Inflatables

Aflex Inflatables are the leaders for obstacle courses, pool toys, waterparks and land-based watersides and fitness runs. They are industry leaders offering the widest range of pool, lake and beach…

read more

Aquatics / Play / Waterparks



Hidroplay welcomes you to the exciting world of children's Playscapes, waterslide's and Water Attractions. Appealing to families, Hidroplay increases patronage in your facility during those…

read more

Aquatics / Play / Recreation


WATERPLAY Solutions Corp

Whether your goal is increasing your centre's revenues or creating an engaging environment, why not add play to your project? If you're looking for stylish aquatic play features, kid-tested…

read more

Aquatics / Attractions / Play / Recreation / Waterparks



Vticket Pty Ltd is the Australian and New Zealand distributor for Gateway Ticketing Systems Inc., the world leader in high-speed access control, admission control and ticketing software for the…

read more

Attractions / Security / Technology / Ticketing / Venues


get listed with our suppliers directory

Get your business noticed in our targeted directory. Viewed by 10,000 industry professionals per week!

list your business