Gymshark to cut roles and restructure following ‘record’ revenue
Gymshark 11 Bond Street, New York City Credits: Gymshark Sportswear retailer Gymshark has confirmed it is planning to cut down on a number of roles amid a period of “intense macroeconomic volatility”. The news comes despite the company reporting record revenue for FY24, amounting to 607.3 million pounds. A spokesperson for Gymshark has told media outlets: “We can confirm we have proposed a business restructure, which will place approximately 296 roles at risk of redundancy.” The company did note, however, that it will be creating 168 new positions “to help drive our future growth”, and thus it would be supporting “those at risk through this process, while seeking to offer as many of them as possible these new roles”. The positions of those impacted were not disclosed. The statement continued: “We find ourselves in a time of intense macroeconomic volatility. We, like so many others in the retail sector, need to be set up not only to weather these near-term storms, but also to build and grow in the future. “We have therefore carefully reviewed our operating model and organisational structure to ensure we have the right teams and roles to support these goals.” Gymshark had already confirmed it had enacted a review of business operations in its most recent financial statements, in which it also confirmed that directors were following a three-year strategic plan focused on future growth across its online, retail and wholesale channels. While the company welcomed strong revenue growth for the year to July 31, 2024, recording an increase of 9 percent per annum, its profit before tax decreased from 13.1 million pounds in the year prior to 11.9 million pounds, reflecting the third consecutive year of declining profits.
Sportswear retailer Gymshark has confirmed it is planning to cut down on a number of roles amid a period of “intense macroeconomic volatility”. The news comes despite the company reporting record revenue for FY24, amounting to 607.3 million pounds.
A spokesperson for Gymshark has told media outlets: “We can confirm we have proposed a business restructure, which will place approximately 296 roles at risk of redundancy.”
The company did note, however, that it will be creating 168 new positions “to help drive our future growth”, and thus it would be supporting “those at risk through this process, while seeking to offer as many of them as possible these new roles”. The positions of those impacted were not disclosed.
The statement continued: “We find ourselves in a time of intense macroeconomic volatility. We, like so many others in the retail sector, need to be set up not only to weather these near-term storms, but also to build and grow in the future.
“We have therefore carefully reviewed our operating model and organisational structure to ensure we have the right teams and roles to support these goals.”
Gymshark had already confirmed it had enacted a review of business operations in its most recent financial statements, in which it also confirmed that directors were following a three-year strategic plan focused on future growth across its online, retail and wholesale channels.
While the company welcomed strong revenue growth for the year to July 31, 2024, recording an increase of 9 percent per annum, its profit before tax decreased from 13.1 million pounds in the year prior to 11.9 million pounds, reflecting the third consecutive year of declining profits.
