Turtle Bay FY revenues fall 10% to £84.3m amid site closures

Turtle Bay Hospitality has reported a 10% fall in revenues to £84.3m in the 52 weeks to 30 March 2025, after closing underperforming restaurants and taking a £6.3m hit from non-cash charges. 

According to the operator of Caribbean-themed restaurants, rising costs and weaker consumer spending weighed on trading during the period. Adjusted EBITDA fell to £3.8m, down from £9m the prior year. 

As a result, the company also recorded a loss before tax of £10.2m, compared with a £1.9m profit in 2024, after recognising a £5.4m impairment charge on the value of its estate and a £900k increase in its onerous lease provision. The charges followed the closure of three loss-making sites and weaker trading in some regions. 

Despite the decline, Turtle Bay said sales remained ahead of pre-pandemic levels. It ended the year with £2.1m of cash on its balance sheet, having funded a £4.2m capital investment programme largely through its credit facility. Net debt stood at £1.5m, with £4.4m of undrawn facilities available, giving total liquidity of £6.5m.

The group stated in its filing at Companies House that it continued to face intense competition, rising supplier costs and high energy prices, alongside higher employer costs following changes to national insurance. It added that consumer disposable incomes remained under pressure amid inflation and high interest rates.

Turtle Bay currently operates 50 restaurants across the UK. During the year it completed five refurbishments and opened a new site in Chester in October 2024. Approximately 74% of its estate is now either under four years old or has received major investment in the past five years.

A new concept was launched at its Chelmsford restaurant in March 2025, designed to return the brand closer to its original Caribbean-inspired style and to broaden its appeal. The concept also introduces breakfast as a new trading period, and the company said it had identified further sites for rollout.

Digital engagement continued to grow, with its Bay Club app membership rising 34% year-on-year to 721,000. App users accounted for 19.1% of total sales during the period.

The company said staff retention remained strong, citing a sector-leading employee net promoter score of 45.1%. Kitchen team stability improved to record levels, while overall team stability remained high.

Changes to the senior leadership team took place during and after the period. Scott Grimbleby joined as chief operating officer in March 2025, bringing more than 20 years of experience from roles at La Tasca, Living Ventures and Gusto Italian. After the year end, the company’s founder took on a more hands-on role as chief executive and bought out Piper’s shareholding. Crispin Tweddell was appointed chairman.

The group also highlighted continued investment in internal training and succession planning, including the launch of a senior manager development programme and a further cohort of its Level 5 operational management apprenticeship.

Commenting on the outlook, the company said trading conditions remained challenging but expressed confidence in its longer-term prospects, adding that “storms don’t last forever”.