Nightcap PLC (AIM:NGHT) saw its shares jump 18.2% higher to 6.09p in early trade after the owner of 46 premium bars shrugged off train strikes and a tough economic climate to report record sales for the festive period.
Revenue for the four-week period to 31 December 2023 rocketed 65.7% to £7.4 million, Nightcap said, with sales for the entire month of December surging 56% to £9.2 million, their highest level in the three years since the company’s initial public offering (IPO).
The bar operator also achieved strong revenue growth for the first six months to end December despite the impact of industrial action on the railways, high inflation, and the cost-of-living crisis.
First-half revenue grew almost 41% to £32.7 million, and the company ended the period with cash of £3.9 million and debt of £8.9 million.
Things are also looking up in the current year, with the benefits of the integration of acquisitions and their synergies expected to come through in 2024.
“The cost of living crisis, inflation and rail strikes have significantly impacted our business and therefore it is very welcome news that the majority of rail workers have reached an agreement to end the rail strikes. It is also positive news that inflation is getting under control, which is expected to result in interest rate cuts in 2024," commented CEO Sarah Willingham.
"These are elements that should start to positively impact disposable income for our target customers during 2024.”