The bar group, which operates more than 70 bars in the UK under the Revolution and Revolución de Cuba brands, experienced strong trading after the relaxing of lockdown restrictions, with like-for-like revenues between 19 July and 13 November 2021 up 14% on the comparable period in 2020.
The company posted a profit before tax of £4.3m, versus a loss of £17.7m the previous year, and a loss of £1.6m in 2019. It says it saw an increase in like-for-like sales of 6% in February helped by the return of students and office workers, staycations and investment in the business.
Restrictions over Christmas led to a sales decline of 23% for the six-weeks to 1 January 2022.
Revolution launched two new brands - artisanal marketplace Founders & Co and competitive socialising concept and described the early performance of both as ‘encouraging’. It also said it was accelerating its refurbishment programme with nine sites completed so far.
The bar group also signed its first new bar lease since 2018 with two openings targeted for this year and six in 2023.
In the statement, chief executive Rob Pitcher said Revolution had a strong balance sheer and that it was confident in delivering towards the top end of its full-year expectations.
“We are hugely encouraged by the performance and are excited about the future as we all now ‘learn to live’ with Covid-19,” he said.
“We are emerging strongly following a period of severe disruption and now believe that, assuming no further variants, we can look forward to a sustained period of growth.
“We continue to urge the Government to support the recovery and rebuilding of the hospitality industry by leaving VAT at 12.5% for food and non-alcoholic beverages and retaining business rates relief at current levels, in-particular maintaining the cap at £2m, not reducing it to £110,000.
“Demonstrating our renewed confidence, we have signed our first new lease since 2018, have a pipeline of opportunities, and several amazing refurbishments taking place. There’s never been a more exciting time for the group.”