Loungers PLC (AIM:LGRS) said its like-for-like sales growth rate has increased over the last couple of months.
Over the 20 weeks to 3 October 2021, like-for-like (LFL) sales were up 26.6% on the corresponding period of 2019 (i.e. pre-pandemic). Trading and the reported like-for-like sales uplift benefited from the government’s temporary reduction in the value-added tax (VAT) rate.
The 26.6% increase in LFL sales represents an acceleration in sales growth compared to the 23.3% increase seen in the first nine weeks of the period.
Net debt at 3 October 2021 was £11.9mln, excluding a further £5.6mln of outstanding rent and deferred liabilities payable to the government.
Since the start of the financial year (mid-April) the group has opened 13 new sites, comprising 12 Lounges and one Cosy Club, taking the portfolio to 181 sites. Loungers expects to open a further 10 sites in the current financial year.
“Our like for like sales have been consistently strong since re-opening, across all site age cohorts and both brands. In addition, I am particularly pleased with the strength of performance in the new sites we have opened in this financial year,” said Nick Collins, the chief executive.
“Loungers continues to thrive as we put Covid behind us and manage the current challenges facing our sector. This success reinforces our roll-out strategy and we look ahead with confidence, with our pipeline of future sites as strong as it ever has been,” he added.