Loungers FY losses remain flat despite sales revival

Loungers saw its losses before tax remain relatively flat at £14.7m for the year ended 18 April 2021, despite a return to sales growth following the reopening of hospitality.

The cafe, bar, and restaurant group reported a like-for-like sales increase of 23.7% in the nine weeks to 18 July 2021, when compared to pre-pandemic levels.

However, the recent spike in sales could not offset a 52.9% year-on-year fall in revenue to £78.4m in FY21.

The group also saw adjusted EBITDA plummet a similar 51.6%, down from £28.8m in FY20 to £13.9m the following year.

Nick Collins, CEO at Loungers, claimed “each time the business has re-opened” since the beginning of the pandemic, it has achieved “consistent, sector-leading sales growth”.

He added: “We want to play our part in driving economic growth as we come out of Covid, improving high streets across the UK and providing amazing hospitality in communities. 

“The strategy that we outlined when we floated the business in 2019, and our place on the high street, have never looked more relevant.”

Since the period end, Loungers has opened seven new sites, and has returned to its target rate of 25 venues per year.