Richard Harpham of XP Factory: Transformational 2022 saw revenue triple and lay the foundations for more significant growth
Episode 1145, Jan 25, 2023, 12:19 PM
Richard Harpham, CEO of XP Factory #XPF discusses their trading update for a transformational the full 2022, which saw revenue triple and lay the foundations for more significant growth in the future.
Highlights:
· A transformational year of growth:
o Strategic target of 27 open Boom Battle Bar sites achieved by year end - 11 owner-operated and 16 franchised
o 5 new owner-operated Escape Hunts opened, taking the total to 23 (plus 23 franchised)
o Group revenue of £21.9m was more than 300% of 2021 (2021: £7.0m)
o Escape Hunt owner operated revenue of £9.9m was 64% ahead of 2021
o Boom Battle Bar owner-operated revenue of £8.8m in its inaugural year
· Profitability being delivered in line with expectations:
o Escape Hunt EBITDA margins in excess of 35% in the year are driving a return on capital1 in excess of 35% per annum
o Boom Battle Bar owner operated margins being delivered in line with anticipated maturity curve, supporting case for strong return on capital from sites
o Group Pre IFRS 16 Adjusted EBITDA2 expected to be c.£2.6m, in line with expectations (2021 £0.1m)
· Strategic milestones being delivered:
o Owner operated estate bolstered with Norwich Boom Battle Bar acquisition already paid back and Boom Battle Bar Cardiff continuing to perform strongly
o The Board estimate annualised run-rate revenues from the current business of circa £33m
o Fit-out funding facility of £3.3m agreed to support additional site growth in Boom Battle Bar in 2023
o Cash at year end of £3.2m
o Substantial majority of Boom Battle Bar earnout likely to be achieved
To read the full RNS click here
Highlights:
· A transformational year of growth:
o Strategic target of 27 open Boom Battle Bar sites achieved by year end - 11 owner-operated and 16 franchised
o 5 new owner-operated Escape Hunts opened, taking the total to 23 (plus 23 franchised)
o Group revenue of £21.9m was more than 300% of 2021 (2021: £7.0m)
o Escape Hunt owner operated revenue of £9.9m was 64% ahead of 2021
o Boom Battle Bar owner-operated revenue of £8.8m in its inaugural year
· Profitability being delivered in line with expectations:
o Escape Hunt EBITDA margins in excess of 35% in the year are driving a return on capital1 in excess of 35% per annum
o Boom Battle Bar owner operated margins being delivered in line with anticipated maturity curve, supporting case for strong return on capital from sites
o Group Pre IFRS 16 Adjusted EBITDA2 expected to be c.£2.6m, in line with expectations (2021 £0.1m)
· Strategic milestones being delivered:
o Owner operated estate bolstered with Norwich Boom Battle Bar acquisition already paid back and Boom Battle Bar Cardiff continuing to perform strongly
o The Board estimate annualised run-rate revenues from the current business of circa £33m
o Fit-out funding facility of £3.3m agreed to support additional site growth in Boom Battle Bar in 2023
o Cash at year end of £3.2m
o Substantial majority of Boom Battle Bar earnout likely to be achieved
To read the full RNS click here