Hard Rock Cafe UK losses widen to £7.5m
The results also include an impairment charge of £4m, made up of £3.4m against right-of-use lease assets and £0.6m against property, plant and equipment
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Hard Rock Cafe UK Limited has reported a loss after tax of £7.5m for the year to 31 December 2024, which widened from a £0.9m loss a year prior.
According to the group’s filing at Companies House, sales fell to £29.2m from £32.5m the previous year, driven by lower restaurant and merchandise performance. Food and beverage sales were down 10%, while merchandise sales declined 12%.
Restaurant transactions also dropped 10% year-on-year, following an 11% rise in 2023, while retail transactions fell 13% after a 16% increase the previous year.
Average restaurant spend was flat, with retail average spend up 3%. Operating expenses decreased by 6%, compared with a 14% rise in 2023.
The results also include an impairment charge of £4m, made up of £3.4m against right-of-use lease assets and £0.6m against property, plant and equipment. The write-down relates to the group’s Piccadilly and Manchester cafes.
In 2023, a £0.6m impairment had been booked in relation to the Glasgow site, which was closed during 2024. The closure resulted in costs of £1.1m.
Hard Rock Cafe maintains that it continues to review the performance of its UK sites and will identify cafes for potential closure or relocation as part of ongoing operational assessments.
The company said it expects to continue generating positive cash flow “for the foreseeable future”.
