Excluding the benefit of the 53rd week, sales were up 22.2% for the Lounge, Cosy Club, and Brightside operator.
The performance reflects both strong like-for-like sales growth of 7.5% as well as the ongoing success of the new site opening programme.
Strength of pipeline
Strong trading was accompanied by disciplined management of costs and a continued easing of inflationary pressures, with EBITDA for FY24 expected to be ahead of market expectations.
During FY24, the group opened 36 new sites (up from 29 in FY23), comprising 33 Lounges, one Cosy Club, and two Brightsides. The estate totalled 257 sites at year end.
The FY24 cohort of sites has traded well since opening, “giving us confidence as to the continuing strength of the pipeline.”
The group’s balance sheet remains strong, with non-property net debt of £9.7m at 21 April, compared to £6.1m in April 2023.
Well positioned
Year-end net debt reflects the further acceleration of the site rollout programme.
Loungers will next update the market on 9 July to announce its preliminary results for the 53 weeks ended 21 April 2024.
Nick Collins, CEO, commented: “I am delighted with our performance over the year. We have consistently out-performed the sector on a like for like basis whilst having delivered a record 36 new site openings. As ever, it’s our continued focus on menu innovation, value for money and exceptional hospitality that is driving the strength of our performance in both the mature estate and our new openings.
“As we start the new financial year we are looking ahead with optimism. Our experience suggests that the UK economy is holding up well and we are well positioned to deliver continued growth.”
