Loungers H1 revenues rise 19.2% to £178.3m
The group’s performance demonstrates its ability to ‘consistently outperform the broader UK hospitality market’
Loungers has reported that total revenues rose 19.2% to £178.3m for the 24-week period to 6 October, as it opened a total of 17 new locations.
It comes as Loungers’ like-for-like sales rose by 4.7% over the period, representing a continuation of the like-for-like sales growth of 5% that was previously reported for the 11-week period to 7 July.
According to the operator of brands Lounge, Cosy Club and Brightside, its performance during H1 demonstrates its ability to “consistently outperform the broader UK hospitality market”.
The group also continued to make good progress towards its target of returning to a pre-pandemic EBITDA margin level of 13.5%.
Meanwhile, Loungers’ balance sheet remains strong, with non-property net debt of £12.2m, which is slightly lower than the £14.3m reported on 1 October 2023.
Having opened 17 new sites during the period, this took the total portfolio to 273 sites and includes the recent Ritorno Lounge opening on Bristol’s harbourside in July.
The opening of Ritorno Lounge on Bristol’s harbourside in July has had “the strongest start for a new site” in Loungers’ 22-year history.
A further 18 sites are scheduled to open in H2, continuing the increased roll-out programme following the 36 new sites opened in the previous financial year.
Nick Collins, CEO Loungers, said: “I am delighted with our performance and the consistency of our sales growth, both in terms of like-for-like growth in the mature estate as well as the strength of our new openings.
“From what we are seeing across our sites, UK consumers are feeling increasingly confident and want to go out and enjoy themselves across all parts of the day. That confidence, combined with the variety, breadth, flexibility and relevance of our all-day offering, is reflected in our continued sales success.”
