Loungers sees profits fall but rate of openings increase
Profits before tax in the 12 months to 16 April 2023 fell by around 66% from £21.6m to £7.3m at the all-day dining restaurant group, with EBITDA down 11% to £47.3m.
The results compare favourably with the group’s pre-pandemic figures in 2019, where it reported adjusted EBITDA of £28m and a pre-tax loss of £6.7m.
Loungers achieved record full-year revenues of £283.5m in 2023 - up 19% against 2022 figures of £237.2m and 85% against 2019 figures.
The group opened 29 new sites during this period, a record for the company, and it says it further intends to accelerate the number of openings to around 34 a year.
Nick Collins, chief executive of Loungers, says this is the seventh year in succession Loungers has delivered industry leading like-for-like sales growth, growing from 44 sites to 232 today.
“I am delighted to be announcing another excellent set of results for Loungers. During the year we opened 29 new sites creating around 1,000 new jobs, launched an exciting new roadside dining brand and achieved industry leading like-for-like sales growth,” he says
"We are proud to be making a positive contribution to high streets and communities across the UK and there are hundreds more locations around the country for us to target.
"Based on our experience the UK consumer remains positive, inflationary pressures are diminishing and recruitment challenges have eased.”
Collins cites the recent opening of Ormo Lounge in Llandudno, which he says achieved a record level of sales for any new Lounge opening in the group’s 22-year history, “reflecting the relevance of our offer and how well we trade by the coast”.
