Bloodbath at fitness influencer Kayla Itsines’ $400million digital workout company as it slashes ‘at least 30 staff’ – but she’s still spruiking her app on Instagram
- Kayla Itsines, 31, sold her digital workout platform to US company iFit for $400m
- She stayed on as the face of the business and is very involved in running it
- Business boomed during Covid lockdowns, when gyms and sports centres shut
- However, subscriptions have been waning since facilities reopened this year
- Fitness empire used to employ 100 people, but could shave workers down to 45
- Do you know more? Email charlotte.karp@mailonline.com
Pictured: Kayla Itsines, 31
Kayla Itsines’ online fitness empire Sweat has hit turbulence with an estimated 30 staff set to be axed from head office – while the pregnant workout queen spruiks the app to her 15 million Instagram followers.
The 31-year-old mum sold her digital workout platform to US company iFit for $400million last year, following a boom in home exercise when gyms and sports centres closed during the Covid pandemic.
Itsines is still the face of the brand and continues to be involved in running the business.
But subscriptions, which cost $20 per month, started waning once gyms re-opened last year.
Headquarters in Adelaide boasted almost 100 employees before the sale to iFit – however, according to the Advertiser, that number is about to drop to 45.
A company spokeswoman would not confirm exact numbers, but she did say the business would be reducing costs and forcing redundancies.
Kayla Itsines announced a collaboration with Pip Edwards’ company, P.E Nation, in October (pictured together)
Kayla Itsines sold her Sweat app (left) to iFit last year for $400million. She is pictured (right) in an outfit from her collaboration with Pip Edwards’ activewear company P.E Nation
‘Sweat, along with others in the digital fitness industry, has experienced recent headwinds due to changes in customer demand and the effects of gyms returning to pre-pandemic operating levels as pandemic restrictions have eased,’ she told the publication.
‘Following on from the review, there will be changes to our organisational structure which will result in redundancies across the business.
‘Sweat is consulting with impacted employees and these discussions will be finalised next week.’
The spokeswoman said decision to cut staff was ‘difficult’, but ultimately ‘necessary’ for the business to improve performance.
Daily Mail Australia has contacted Sweat for comment.
Itsines is pregnant with her second child. She has a three-year-old daughter with ex-partner Tobi Pearce
The company’s largest market is in the US, but last year it was reported that subscription revenue had dropped by 16 per cent in the 2020-21 financial year, equating to a $9.5million loss.
Meanwhile, heavily-pregnant Itsines continues to promote Sweat to her 15.2 million Instagram followers.
On Sunday, she uploaded a video revealing she can’t wait to get back to burpees, skipping, pushups, squats, jump lunges, tricep dips, and ab bikes once after she has her baby in January.
She tagged Sweat in the post, and used a range Sweat-related hashtags.
Kayla Itsines is expecting her first child with fiancé Jae Woodroffe (pictured together)
On Friday, she posted a video of herself following the app while doing a leg workout.
It comes just weeks after Itsines launched a range of gym wear in collaboration with Pip Edwards’ activewear empire, P.E Nation.
According to an Instagram post by P.E Nation, the collection ‘is inspired by Kayla’s fast-paced routine and created to fit all aspects of your day’.
Daily Mail Australia revealed P.E Nation, another beneficiary of the pandemic, axed at least four staff members from its own headquarters earlier this month.
Itsines created the first version of Sweat in 2015 with her ex-partner, Tobi Pearce. Back then, it was called the Bikini Body Guide fitness program.
Pearce stayed in the company as her business partner, even after they split in 2020, until he left in February this year.
She has a three-year-old daughter with Pearce, and is expecting her first child with fiancé Jae Woodroffe.
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