In the most recent trading update, CEO and Acting Chairman Dan Baxter said the group had closed the three Melbourne locations “through lease termination, not fulfilling all respective lease obligations”.
But he added that the closures are expected to improve the company’s long-term financial position.
“The board is confident it will return to profitability sooner than expected,” Baxter said, adding that the company is meeting its ongoing disclosure obligations.
In a letter to clients regarding the closing of the last Sydney offices last week, and seen through this masthead, Victory says: “Unfortunately, due to the current revenue streams at our Sydney locations, our board has decided that we have to walk away from our lease. at 300 Barangaroo and 85 Castlereagh Street.”
The letter offers customers space at locations in Canberra, Queensland, Melbourne Perth, before adding: “If the above locations are not suitable, or if you decide to terminate your membership with us, your paid deposit will be refunded according to the terms and conditions.”