Loungers LFL sales rise 17%

Loungers plc has reported like-for-like sales growth of 17% for the 24 weeks to 2 October 2022, and the group is on track to open 30 sites this year.

Additionally, the group’s non-property net debt at 2 October 2022 was £9.5m, down year-on-year from £11.9m, reflecting the timing of September month end working capital cash outflows.

Loungers said it has continued to significantly outperform the market, against a well-documented challenging macroeconomic backdrop.

Since the start of the financial year, the group has opened 11 new sites, comprising eight Lounges and three Cosy Clubs, taking the total portfolio to 206 sites.

In line with Loungers’ recently accelerated roll-out plans, the business expects to open a further 19 sites in the current financial year. 

Nick Collins, Loungers CEO, said: “As our strong sales performance demonstrates, neither uncertainty in respect of the wider UK economy nor consumer attitudes towards discretionary spending have to date impacted our sales. We are continuing to benefit from more people staying local, working from home, and supporting their community.

“We are operating in a particularly inflationary environment and we are working hard to mitigate inbound cost pressures and to maintain the value for money principles that are so important to our customers. We continue to focus on getting the right balance and take confidence from the positioning of both Lounge and Cosy Club.”