Though the Group said the reopening dates set out in the Government’s lockdown roadmap were later than hoped for, it revealed that it planned to open 20 sites for outdoor trading on 12 April in keeping with the plan’s conditional dates.
What’s more, the operator added that it would be reopening its full 66-strong stable of bars on 17 May when the resumption of indoor trading under the ‘rule of six’ has been conditionally earmarked.
In announcing his lockdown roadmap, the Prime Minister caveated that adherence to these dates would depend on the number of cases, how vaccinations progress, and whether any new variants emerge.
According to its statement on 4 March, the Group estimated in December that if unable to trade due to enforced closure the Company’s cash burn would be approximately £400,000 to £450,000 per week. At that time, the Group had £17.6m of liquidity headroom.
As of 3 March 2021, the Group had net debt of £27.1m with available liquidity resources of £9.8m.
‘The light at the end of the tunnel is getting brighter’
Additionally, Revolution stated that additional support announced by the Chancellor in the Spring Budget was welcome, will offer further certainty to stakeholders and allow the firm to “regain a financial position from which it can again develop and thrive”.
“With the encouraging progress of the vaccination programme, clarity in the timetable to reopening, and the additional financial support measures announced by the Chancellor, the light at the end of the tunnel is getting brighter,” Rob Pitcher, CEO of Revolution Bars Group said.
“Notwithstanding that good news, our industry remains on the critical list and the continued support announced by the Government is required to ensure that we can be in a position to return to growth and be a driver of national job creation once again particularly for young people who are the lifeblood of our industry and who have been severely impacted over the last year.
“We are excited at the prospect of welcoming back our colleagues and guests and providing fun and memorable experiences for them as lockdown restrictions ease.”
Revolution’s statement came just months after the operator of sites under its nationwide Revolution and Revolución de Cuba brands reported plummeting sales in the first 24 weeks of FY21 as a result of “severe and constantly evolving trading restrictions.”
In a preliminary results statement for the 25 weeks ended 27 June, Revolution Bars Group highlighted total revenue for FY20 had fallen to £110.1m compared to £151.4m in the previous 12-month period, while statutory pre-tax losses deepened from £5.6m to £31.7m.
What’s more, the group also revealed revenue for the 24 weeks from July currently stood at £20.6m, down by 58.6% against the £74.1m taken during same period the previous year.
What’s more, in November, the firm had a company voluntary arrangement (CVA) for subsidiary Revolution Bars Limited approved – which saw six sites immediately close.