XP Factory PLC (AIM:XPF), the group behind Boom Battle Bar, rallied by more than 6% on Friday after it reported sales in the first half of 2023 grew by more than 130% year-on-year.
Sales at both Boom Battle Bar and Escape Hunt, the group’s escape room brand, jumped by around 20%, helping overall revenues reach £18.8 million, which in turn drove underlying profits 245% higher to £3.8 million.
Richard Harpham, chief executive officer at XP Factory, said in a trading update he was “delighted” by the growth, adding that “Escape Hunt has been outstanding” and Boom continues “to mature with ongoing improvements”.
“We are mindful of the pressures on consumers and on our cost base which bring an element of short-term caution but we remain optimistic for the future of both our businesses and for the 2023 outturn,” he added.
Success at Boom Battle Bar, which offers activities like axe throwing and batting cages, is made even more impressive considering earlier this year XP Factory’s board decided that despite inflationary pressures weighing down input costs it would not pass it on to the customer.
Despite having a larger exposure to cost pressure than Escape Hunt, the group said it was encouraged that Boom reached its labour level target and that utility bills were beginning to reduce.
Looking ahead, management is confident in executing full-year results in line with market expectations, citing a record level of corporate and group bookings for the second half of the financial year as a key driver.
Shares in the London-listed firm opened slightly over 18p on Friday.