In a trading update this morning (8 October), the all-day café and restaurant group, which includes the Lounge, Cosy Club, and Brightside brands, reported total revenue of £178.3 million for the period, a 19.2% increase from the previous year’s £149.6 million.
The group noted that it is making solid progress toward its target of achieving a pre-Covid EBITDA margin level of 13.5%, and its balance sheet remains robust, with non-property net debt standing at £12.2 million as of 6 October 2024, down from £14.3 million on 1 October 2023.
As of 6 October 2024, the group operates 273 sites, with an additional 18 locations expected to open in the next six months.
“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 and the success of our new openings,” said Nick Collins, Loungers CEO.
“In this period, we have opened in 17 towns and high streets across the UK, totaling 37 new sites in the last 12 months. Enormous credit goes to the hard work and professionalism of our amazing teams.”
This includes the Ritorno Lounge on Bristol’s harborside, which opened in July and has achieved the strongest start for a new site in the group’s 22-year history.
“This is particularly gratifying given that Bristol is where the Loungers story first began,” Collins added.
“Our observations across sites indicate that UK consumers are increasingly confident and eager to enjoy themselves throughout the day. This confidence, combined with the variety, breadth, flexibility, and relevance of our all-day offering, contributes to our ongoing sales success.”
Loungers reported a record year for sales, profits, and site openings in its full-year results released in July.
Revenue grew 24.7% year-on-year to £353.5 million, while adjusted EBITDA increased by 25.9% to £59.6 million in the 53 weeks ending 21 April 2024.
