Loungers has reported strong results for the financial year ending 21 April 2019, with revenue up 26.4% to £153million.
The period also saw the group, which operates 154 café/bar/restaurants across England and Wales under two distinct but complementary brands, Lounge and Cosy Club, report like for like sales growth of 6.9%, compared to 6.0% in 2018.
Adjusted operating profit was up 23.3% to £12.4m, while cash generated from operations up 13.5% to £22.4m.
The year also saw the opening of 25 new sites and continued investment in the evolution of both the company’s brands in respect to menu, design and people.
The group lists its other operational highlights as: commencing a “re-set investment programme” to improve kitchen efficiency and the working environment of its back of house teams; continued development of the Group’s head office infrastructure to support future growth; and admission to trading on AIM of Loungers’ ordinary shares post year end (the “IPO”), raising £83.3m.
The company claimed that the new financial year has started well and it was trading in line with expectations, with a further eight stores having opened, out of 25 expected openings for the year.
Nick Collins, Chief Executive Officer of Loungers said: “These results represent a strong performance for the financial year ending 21 April 2019 and are in line with both our, and the market’s, expectations.
Our revenue and profit growth not only reflect the continued success of the roll-out, but also our unwavering focus on our customers, the evolution of our proposition and how we support and invest in our teams.
“Our admission to AIM post the FY19 year-end has meant almost 600 employees have had the opportunity to become shareholders in Loungers plc and it is fantastic that their hard work and commitment can be rewarded in this way.
“Our new financial year has started well and our roll-out strategy for both brands is on schedule. I remain confident about the outlook and future growth prospects for the Group.”