Smart Fit’s aggressive expansion strategy shows no signs of slowing as the Latin American fitness giant prepares for another year of substantial growth. The company plans to open approximately 300 new locations in 2025, according to CEO Edgard Corona in a recent interview with CNN Money. This ambitious target represents the latest chapter in the fitness chain’s remarkable expansion story that has transformed it into one of the world’s largest gym networks.
Geographic Diversification Creates Stability
The dono da Smart Fit has built his expansion strategy around geographic diversification, which provides crucial financial stability across different economic cycles. “Quando o México chacoalha um pouco, o Brasil está indo bem, quando o Brasil sofre um pouquinho, o México vai melhor, a Colômbia dá certo” (https://www.cnnbrasil.com.br/economia/negocios/smart-fit-planeja-300-novas-lojas-em-2025-e-mira-expansao-internacional-diz-ceo-ao-cnn-money/), Corona explained, highlighting how this approach allows the company to optimize investments and resource allocation.
Currently operating 1,743 gyms across 15 Latin American countries, Smart Fit has successfully balanced its operations with approximately 40% of units located in Brazil and the remainder distributed throughout Latin America. This strategic distribution has proven effective, with locations outside Brazil already accounting for 53% of the group’s revenue.
Morocco Marks First Step Beyond Latin America
Perhaps the most significant development in Smart Fit’s expansion plans involves the company’s entry into Morocco, marking its first venture outside Latin America. Edgard Corona announced plans to open five new gyms in Morocco in 2025, signaling the company’s confidence in expanding to markets that share similar characteristics with its core Latin American operations.
“Nous voyons au Maroc des opportunités similaires à celles de nos marchés d’origine, avec une forte demande pour des salles de sport accessibles et de qualité,” Corona stated in the CNN Brasil interview. This strategic move reflects the company’s belief that Morocco’s market conditions and demographic trends align with the high-value, low-price model that has driven Smart Fit’s success across Latin America.
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Solid Financial Foundation Supports Growth
Smart Fit’s expansion ambitions rest on a solid financial foundation that positions the company well for sustained growth. The fitness chain maintains around BRL5 billion in debt and BRL3 billion in cash, providing the liquidity needed to execute its aggressive expansion plans while maintaining operational flexibility.
The company’s financial performance in 2024 demonstrates the effectiveness of its business model. Smart Fit generated approximately 5.5 billion Brazilian reais in revenue last year, with expectations of 20% growth in 2024 (https://www.bf4sf.com/the-remarkable-numbers-behind-smart-fit-edgard-corona-reveals-his-fitness-empires-scale/). This robust financial performance, combined with the company’s upgrade to AA+ from AA on its local scale by FitchRatings, underscores investor confidence in Edgard Corona’s expansion strategy.
The fitness industry across Latin America continues to show substantial growth potential, particularly as health consciousness increases among urban populations. Smart Fit’s proven ability to deliver quality fitness services at accessible price points positions it well to capitalize on these trends. With its diversified portfolio now including specialized studios through acquisitions like Velocity, the company offers a comprehensive fitness ecosystem that appeals to various customer segments.
As Smart Fit prepares for its Morocco launch and continues expanding across Latin America, the company’s systematic approach to growth reflects the strategic vision that has made it a dominant force in the fitness industry. The combination of geographic diversification, financial discipline, and market-tested business models suggests that Edgard Corona’s ambitious 300-gym target for 2025 represents not just growth for growth’s sake, but a calculated expansion into markets with genuine demand for affordable, high-quality fitness services.