Giving investors an update of the health of its business, the fitness group said annual like-for-like sales were up 9% and club openings were on track.

LA Fitness has opened 20 health clubs during the past year, and now runs 57 gyms.

The company operates at the cheaper end of the health club market and its success contrasts with the recent slowdown at rivals in the more expensive, or "premium", end of the market such as Esporta and Holmes Place.

LA was giving its update close to the end of its current financial year. The full results are due to be released in October.

The company said trading "endorses our view of the robust nature of the LA Fitness business model", adding that "this gives the board further confidence of the Company's growth prospects".

This year LA Fitness also opened its first overseas club - in Spain - which the company said had so far exceeded initial expectations. The group hopes to open another 17 gyms during the coming year, four of them in Spain.

In January, it raised £8.2m to fund its expansion course. The money came from the sale and leaseback of four clubs.

LA Fitness predicts that it can comfortably reach a target of 100 clubs by July 2005.