The bar group that operates brands including Tonight Josephine, The Cocktail Club and The Piano Works, also reported a revenue rise from £55.6m last year to £57.5m and record site EBITDA (earnings before interest, taxation, depreciation and amortisation) of £9.4m, up from £8.1m in 2024.
The business, which is led by former Dragons’ Den star Sarah Willingham, said had “delivered a year of growth, profitability and transformation” despite the “toughest economic trading environment in years”.
The group was backed by a £3.4m equity raise in May this year and invested in the revamp of the Brighton i360 and launched three big venues in The Piano Works in Cardiff, Drift Bar & Grill in Brighton and Afters in Clapham.
Market still suffering
It also stated it had made investments in people, systems and AI to streamline operations and enhance efficiency.
On the future, the business said: “With the UK economy flatlining, persistent inflation, high interest rates, unhelpful Budgets and an expanding tax burden, the hospitality market is still suffering.
“The impact of the employers national insurance contributions and national minimum wage changes hit us hard but, like everyone in our industry, we endeavour to overcome these challenges by leaning into growing trends, such as live music and stand-alone community-focused bars that deliver relevant spaces where our customers want to spend time, socialise and have a good time.”
Search for Piano Works sites
It expects the full-year benefit of the i360 acquisition, The Piano Works in Cardiff and Afters in Clapham, plus the ongoing uplift from its estate refurbishment programme, to underpin continued significant revenue and EBITDA growth in its 205-26 financial year.
Nightcap is targeting both national and international roll-out potential for The Piano Works and is looking for appropriate sites in 10 different cities across the UK.
The group concluded: “We remain actively engaged in identifying new acquisition opportunities that complement our portfolio and align with our long-term growth strategy.
“Nightcap remains confident in achieving its medium-term ambition to more than double the size of the estate, enhancing its position as one of the leading experiential hospitality groups in the UK.”
