Gym group in good shape in 2025
Adam Vettese, market analyst for eToro, says:“Gym Group’s full year 2025 results are a welcome fitness boost for investors, showing the budget gym chain powering through economic headwinds with solid growth and improving profits. Revenue climbed 8%, driven by more members and higher fees per head. Profits geared up nicely too, adjusted earnings before interest and tax nearly tripled to ?10.6 million, with free cash flow up 10, funding 16 new gyms without straining the balance sheet. Return on investment at mature sites hit 27%, proof the expansion model is delivering.
“Yet margins stay slim at just 3% net, with rising staff and energy costs a nagging worry as they open more sites. Competition from posh gyms and squeezes on disposable incomes could test demand.
“Overall, it’s a healthy turnaround story for the everyday punter, affordable fitness is booming despite cost-of-living concerns, particularly among Gen Z. Self-funded growth plus a ?10 million share buyback also scream confidence. Shares have continued their positive start to the year and have opened strongly this morning. Investors will now be looking for this trajectory to continue and reclaim some old ground lost in prior years.”
Balfour Beatty turns steady growth into profit surge
Mark Crouch, market analyst for eToro, says: “Balfour Beatty’s full year results suggest a contractor very much in its stride. In a sector where margins can evaporate at the first hint of trouble, the infrastructure and construction giant has managed to turn steady revenue growth of 8% into a 16% jump in underlying operating profit. Balfours bread-and-butter earnings businesses, notably UK power transmission and US buildings, are now firing on all cylinders.
“There were, inevitably, a few bumps in the road. A troublesome US Civils project and a dip in Infrastructure Investments profit show that construction remains a game where one misstep can be costly.
“Crucially for Balfour, the balance sheet is doing the heavy lifting. With average net cash north of £1.2 billion, Balfour has the firepower to fund a £200 million buyback and lift the dividend by 12%. A record £22.7 billion order book provides reassuring visibility and gives investors real confidence in the road ahead. With exposure to energy, defense and US real estate, the wind appears firmly at its back heading into 2026.”
Persimmon gains ground as home completions boosts profits
Mark Crouch, market analyst for eToro, says:“Shares in Persimmon got a welcomed lift after the housebuilder delivered a solid set of full-year numbers, with higher home completions feeding through to stronger profits and revenue. The group built 11,905 homes in 2025, a 12 per cent increase on the previous year, helping revenue climb 17 per cent to ?3.75bn and underlying profit before tax rise to ?445.6m.
“The figures suggest demand in the new-build market is holding up better than many feared, particularly as mortgage costs remain relatively elevated. Encouragingly, Persimmon also reported a stronger forward sales position of ?1.25bn for private homes at the start of March, indicating a steady pipeline of activity heading into 2026.
“A larger land pipeline and continued investment in strategic sites are also reinforcing confidence in Persimmon’s medium-term growth. While higher finance costs tied to that expansion may temper near-term profit growth, the market seems reassured that volumes, the key driver for housebuilders, are firmly moving in the right direction.”
Dominos shows resilience amid tough takeaway market
Adam Vettese, market analyst for eToro, says: “Domino’s Pizza Group has delivered a set of steady but unspectacular results, underlining both the resilience and the limitations of the UK takeaway market. Revenue edged higher over the year and broadly met expectations, while the company continued to open new stores and nudge up its dividend, a signal of confidence that will appeal to income focused investors.
“However, the underlying picture is more mixed. Like-for-like sales were effectively flat and order numbers declined, suggesting consumers remain cautious with discretionary spending. More concerning was the drop in earnings per share, which fell at a double digit rate, reflecting ongoing cost pressures and tighter margins. In short, sales are holding up, but profitability is under strain.
“The balance sheet remains under control, with debt levels within guidance, and the franchise model continues to generate solid cash flow. Yet recent analyst downgrades show the market is not convinced that a meaningful growth recovery is imminent, despite a boost in the price at this mornings open.
The shares have softened in recent months, reflecting subdued momentum. A pickup in consumer confidence could support a rebound, but for now the outlook appears steady rather than sizzling.”
Clarkson shares dip amid shipping chaos
Adam Vettese, market analyst for eToro, says: “Clarkson’s latest results show a tough year for the shipping giant, with profits dropping sharply after a few years of bumper gains. Sales fell around 5% to £630m and pre-tax profit slipped by about a fifth, hit by weaker tanker and gas markets, a stronger pound and global trade headaches.
“Bosses blame “geopolitical chaos”, especially in the Middle East where Red Sea attacks have forced ships to take longer routes around Africa compounded by new conflict in Iran. This has been boosting demand for Clarksons’ booking services but also hiking costs and risks for the industry. Dry cargo shipping held up better than expected, and the firm is pushing into tech like digital booking apps to grab a bigger slice of future trade.
“Shares have dipped this morning and could be volatile for some time as the tensions in the Middle East rumble on with no resolution immediately in sight.”
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