Revel CEO demands biz rates reform as group targets strong future
The business, which was formerly Revolution Bars Group, announced its preliminary results for the 52 weeks ended 29 June 2024.
Total sales for the period reached £149.5m, down marginally from £156.6m in 2023.
Operating losses increased to £28.4m from £15.2m in 2023, adjusted EBITDA (earnings before interest, taxation depreciation and amortisation) stood at £13.4m (2023: £17.0m) and loss before tax was £36.7m (£22.2m).
Pitcher said: “Despite the distractions to the bars side of the business, particularly Revolution bars, I am very pleased to have seen strong trade elsewhere in the group.
“Peach Pubs continues to trade very strongly post-acquisition and enjoyed its best ever festive trading this year.
“The pubs have seen a strong start to FY25, and we see the pubs and Founders & Co as the key areas for future expansion in the group.
Positioned well for the future
“I am confident with the distraction the restructuring plan behind us, we will drive growth across all brands.
“A well-diversified offering through the bars and pubs brands positions us well for the future. In reflection of our more balanced portfolio, we were excited to also announce the renaming of the group to The Revel Collective.
“We look to the Government as an engine for growth for the UK hospitality industry, with urgent reforms needed to business rates and the apprenticeship levy, as well as recognition of ongoing challenges through minimum wage legislation, which should be supported through reduced VAT for the industry, which is undoubtedly over-taxed.
“Our colleagues have faced continued unprecedented challenges and uncertainty in the last year.
“The attitude and efforts by both those who have left the group in the last year, as well as our remaining brilliant teams, is unparalleled. I am very excited to see where the new reshaped, resized business can take us.”
Revel, which operates 43 bars and 22 gastropubs, trading predominantly under the Revolution, Revolución de Cuba and Peach Pubs brands, said current trading has been impacted by the restructuring plan and its execution extending into FY25 together with a particularly wet summer.
‘Best ever’ Christmas for Peach
It added: “More recently, the return of students and positive early bookings for the festive trading period means the group is pleased to begin seeing improved performance.”
Peach Pubs, in its first full year in the group, “enjoyed strong trade” throughout FY24.
It delivered its “best ever” Christmas trading period with three consecutive record weeks during December, achieving weekly sales of more than £1m for the first time.
Revolución de Cuba brand “performed well and ahead of other bar brands”, enjoying positive like-for-like (lfl) sales up 3.2% in the first half of FY24, with the second half impacted by internal distractions.
It anticipates “a positive festive trading period” with corporate bookings strong.
Founders & Co “enjoyed very strong trade”, achieving lfl sales up 19.6% in FY24. New events continue to be held with its third party traders being “regularly refreshed” and there is “an excellent opportunity to expand this brand when funding allows”.
