Viva Leisure Upgrades NPAT Guidance as TPLR Division Drives Margin Outperformance
Viva Leisure upgrades NPAT guidance as margins and TPLR division outperform
Viva Leisure (ASX: VVA) has upgraded both Statutory and Underlying NPAT guidance for FY26, while reaffirming Revenue and EBITDA guidance across all metrics. Statutory NPAT is now expected to exceed $12M, representing growth of more than 130% on FY25’s $5.2M, with Underlying NPAT upgraded to exceed $17M from prior guidance of >$16M. The upgrade is attributed to margin discipline and the accelerating contribution of the TPLR division, with full year results including detailed segment performance and an FY27 outlook scheduled for August 2026.
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FY26 guidance snapshot — what the numbers say
The FY26 trading update presents a clear picture across all five financial metrics, with two upgraded and three reaffirmed against original guidance.
| Metric | FY25 Actual | FY26 Original Guidance | FY26 Revised Guidance | Status |
|---|---|---|---|---|
| Revenue | $211.3M | >$237M | >$237M | Reaffirmed |
| Statutory EBITDA | $99.1M | >$111M | >$111M | Reaffirmed |
| Underlying EBITDA | $45.9M | >$53M | >$53M | Reaffirmed |
| Statutory NPAT | $5.2M | >$11.5M | >$12M | Upgraded |
| Underlying NPAT | n/a* | >$16M | >$17M | Upgraded |
Comparative FY25 Underlying NPAT was not separately disclosed. Underlying EBITDA and NPAT are pre-AASB16 and exclude one-off non-recurring items, consistent with prior reporting practice.
Key growth rates relative to FY25 actuals include:
- Revenue growth of >+12.2% on FY25
- Statutory EBITDA growth of >+12.1%
- Underlying EBITDA growth of >+15.5%
- Statutory NPAT growth of >+130.8%
What’s driving the NPAT upgrade
Three factors are named in the announcement as driving the upgrade: operating leverage from the now-optimised corporate network, improved gross margins across that network, and TPLR contribution tracking ahead of plan. These dynamics are compounding, with a leaner cost base amplifying the margin benefit from higher-quality revenue.
The total network membership base sits at approximately 680,000, up approximately 9.5% on FY25’s closing figure of 620,902. On the balance sheet, net leverage stands at 1.90x against a covenant of 2.50x, and the on-market share buy-back is continuing, both indicators of financial headroom.
The TPLR division — Viva Leisure’s highest-margin growth engine
Technology, Payments, Licensing & Retail (TPLR) is the segment that groups together Viva Pay, third-party technology licensing, unified access apps, vending, supplements (Supp Society) and digital signage. In plain terms, it captures the revenue streams that sit alongside the physical gym network but carry structurally higher margins because they do not require the same fixed-cost infrastructure.
The Company describes TPLR as the Group’s highest-margin and most scalable revenue segment. As its share of total group revenue increases, it pulls overall group margins upward, creating an earnings mix effect that operates independently of membership volume growth.
TPLR by the numbers
TPLR is tracking approximately +30% YoY in FY26, and its growing contribution is visible in the revenue mix data. The segment represented 8.1% of group revenue at HY26, up from 6.5% at HY25, a shift of 160 basis points in a single half.
Disclosed sub-segment run-rates include:
- Viva Pay: now contributing in excess of $6M per annum
- Retail (Vending & Supplements): operating at an annualised run-rate of $6M+
For investors, the mechanism is straightforward: each percentage point gained in TPLR’s revenue share improves the group’s blended margin profile without a proportional increase in operating costs. This is the structural link between TPLR’s outperformance and the Viva Leisure FY26 NPAT upgrade.
Harry Konstantinou, CEO and Managing Director
“FY26 has been a year of disciplined execution and earnings expansion. With revenue tracking in line with guidance, margin expansion and the accelerating contribution of our TPLR division have allowed us to reaffirm EBITDA guidance and upgrade NPAT guidance — underscoring the quality and resilience of our earnings. The NPAT upgrade reflects favourable operating leverage, improved gross margins across the network, and TPLR delivering ahead of plan.”
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What comes next — FY27 growth re-acceleration from a position of strength
FY26 has been characterised by deliberate network optimisation rather than aggressive expansion. The moderation of greenfield rollout was a planned decision announced in August 2025, not a shortfall, and the results of that approach are reflected in a corporate club portfolio now operating at peak utilisation. Corporate clubs are averaging approximately 1,330 members per club with portfolio utilisation of approximately 80%, which management describes as the highest in the Company’s history.
With the optimisation phase complete, FY27 is framed as a re-acceleration year, underpinned by an established operational base, a strong balance sheet and the TPLR platform scaling alongside each new site.
Pipeline and upcoming catalysts
Key forward-looking data points from the announcement include:
- More than 100 committed franchise and corporate locations still to open across the Plus Fitness, World Gym Australia and Boutique Fitness Studios pipelines
- In excess of 30 locations currently expected to open in H1 FY27
- Full year results due in August 2026, to include detailed segment performance, balance sheet position and FY27 outlook
Harry Konstantinou, CEO and Managing Director
“The natural next phase of value creation is to add new locations, and we look forward to re-accelerating our greenfield rollout program from FY27 from a position of unprecedented operational, financial and technological strength.”
The 100+ committed locations provide visible underwriting for network growth into FY27 and beyond. As each new site is brought online, the TPLR platform scales alongside it, meaning the highest-margin segment benefits directly from the physical rollout, reinforcing the group’s earnings quality trajectory.
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