Revolution Bars Group, which operates 74 bars under the Revolution and Revolución de Cuba brands, has today reported growth in profits and sales.
The Ashton-under-Lyne-headquartered group reported adjusted pre-tax profit had grown 20.5 per cent to £3.5m for the 26 weeks to December 28, up from £2.9m the same period the year before, while revenues grew 3.5 per cent to £81.2m, up from £78.5m.
Like-for-like sales grew 1.2 per cent after sales grew from 0.7 per cent in Q1 to 1.7 per cent in Q2, following a “strong” performance in the run up to Christmas.
Adjusted EBITDA also increased 10.6 per cent to £7.6m, up from £6.9m.
The group said it “good progress has been made on debt reduction” and its “underlying business is much stronger”, with its full-year results anticipated to be in line with market expectations.
Chief executive Rob Pitcher said it is “confident” the group will be “well positioned to resume site expansion” in 2021.
He said: “We have continued to make significant progress revitalising the Revolution brand and further improving the performance of Revolución de Cuba.
“Having stabilised the business in FY19, FY20 is about consolidation and the benefits of the many actions that we have taken are beginning to be realised.”
He added: “H2 FY20 has started encouragingly and should we continue on our current trajectory then the board is confident the business will be well positioned to resume site expansion in FY21.”
Revolution said the second half has “started well”, with like-for-like sales up 1.6 per cent.
The group said it has “surrender[ed] leases” at five loss-making sites at the cost of £3.6m and has refurbished seven bars.
