Benefit Systems Group’s financial results for 2022: record volumes, margins, and profits
At the end of December 2022, the Benefit Systems Group reached a record level of 1.6 million sports cards in Poland and abroad. It also recorded a significant improvement in its results compared to the period before the pandemic. Last year’s operating profit totalled PLN 213 million. In 2023 Benefit Systems expects further improvement in the profitability of its operations and an increase in the number of cards by approximately 300,000 in the whole Group.
The Benefit Systems Group’s sales revenue in 2022 amounted to PLN 1,909.1 million and was 100% higher than in 2021, which translated into an operating profit of PLN 212.8 million. The EBITDA result in 2022 was 117% higher and amounted to PLN 444.8 million.
Poland Segment
At the end of the fourth quarter of 2022 sports cards were held by over 1,187,300 people in Poland. The Poland Segment recorded revenues of PLN 403.3 million (an increase by 43% compared to the same period in 2021). EBIT amounted to PLN 72.1 million and EBITDA to PLN 123.9 million (increase by 63% compared to Q4 2021). Benefit Systems continues to develop the MultiSport Programme offer, both expanding the group of partners (over 4,700 facilities in Poland) and developing its own network of fitness clubs. At the end of last year the Group’s portfolio included 170 own fitness clubs, including seven new ones: four opened in Warsaw (Zdrofit PZO, Lazurowa, HUB, Mennica), one in Stara Iwiczna (Zdrofit NPark), one in Wodzisław Śląski (Fabryka Formy) and in Łódź (FitFabric Strazacka).
The company focuses on further development of the MyBenefit platform, both technologically (Active module with gamification) and product-wise (an extended range of services in the Tourism category). The Group’s offer is also intensively developed under the MultiLife Programme, which in the first quarter of this year is promoted as part of an extensive marketing campaign building brand recognition and supporting sales.
Foreign Countries Segment
At the end of December 2022 there were 430,800 active cards on foreign markets. The revenues of the Foreign Countries Segment in the fourth quarter of last year amounted to PLN 159 million, and operating profit – to PLN 2.1 million. Currently, the company operates 15 own clubs in the Czech Republic, 8 in Bulgaria and 1 in Slovakia. Activities related to building a partner network and selling sports cards among employers are continued on the Turkish market.
Detailed information on Benefit Systems financial results for 4Q 2022 can be found at www.benefitsystems.pl/en/for-investors/ (data presentations) and in the Benefit Systems Capital Group’s consolidated annual report for 2022.
Together with the financial results, Benefit Systems also published the Non-Financial Report for 2022 – download the report.
Commentary by Bartosz Józefiak, Management Board Member at Benefit Systems, regarding the results ( published together with the estimated results for the fourth quarter of 2022): We had a very successful year, which we ended with a record number of 1.6 million sports cards, a good operating result, and a strong balance sheet. Throughout 2022, despite the first months devoted to rebuilding our business after the pandemic, we gained almost half a million new users. The fourth quarter was also very successful: the number of cards increased by over 120,000 in Poland and by over 50,000 on foreign markets. The attendance in fitness clubs last year, which was the highest in a decade, is particularly noteworthy. The demand for the offer of fitness clubs significantly exceeded our expectations. Our own fitness networks ended the year with more than 180,000 passes and revenues over 20% higher than the results reported at the end of the fourth quarter of 2019. Numerous initiatives focused on cost optimisation implemented since the beginning of the pandemic and the revenues generated last year resulted in a significant improvement in the profitability of our fitness clubs. This area was an important element of the increase in profits in 2022 compared to the period before the pandemic. Its impact amounted to over PLN 40 million.
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Benefit Systems has been operating on the Polish market for over two decades and is one of the leaders in providing non-financial benefits that support the wellbeing of employees. The company is the creator of the MultiSport Programme, which allows its users to take up physical activity in sports facilities all over the country. The Benefit Systems portfolio also includes the MyBenefit cafeteria platform and the MultiLife wellbeing programme. For several years now, the company’s sports offer has been developed on foreign markets, including in the Czech Republic, Slovakia, Bulgaria, and Croatia. The Benefit Systems Group also operates over 200 fitness clubs in four markets (in Poland it is responsible for the Zdrofit, Fitness Academy, My Fitness Place, Fabryka Formy, StepONE, S4 Fitness, Total Fitness and FitFabric networks). An important area of Benefit Systems activities is promoting an active lifestyle at every stage of life, which is why the company implements initiatives supporting the physical activity of children, adults, and seniors. Since 2018, Benefit Systems has been part of the global B Corp initiative bringing together companies involved in solving the most important social problems. More information about the company can be found at www.benefitsystems.pl/en/.
Head of CommunicationsBenefit Systems
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