Drake & Morgan, the Bowmark Capital-backed bar group, saw adjusted EBITDA increase 39.2% to £5m in the 52 weeks to 26 March 2017, with like-for-like sales climbing 5%, in what the company described was a “transformational year”.
Turnover increased by 48.8% to £42.9m, whilst adjusted pre-tax profit stood at £2m, as the group launched three new sites during the period - The Refinery at St Andrew’s Square, Edinburgh; The Refinery Spinningfields, Manchester; and The Commission, in partnership with Delaware, Heathrow T4. The company told MCA it was “very happy” with both out of London sites.
A further three sites have opened in the current financial year taking the group’s estate to 23 bars.
The company completed the acquisition of Corney and Barrow Bars in July 2016. To date, five of the acquired bars have been refurbished and relaunched with two sold.
Chief financial officer James Sherrington said: “2016/17 was a transformational year for the business with the acquisition of C&B Bars, three new openings and continued sales and profit growth in the existing business. Since the year end, three new London sites have opened, growing the estate to 23 in total – these are The Sipping Room in West India Quay, The Allegory in Principal Place, and The Listing in Cannon Green. Whilst like-for-like sales continue to grow, we remain cautious given the mixed performance across the sector and current consumer uncertainty.”
In October, MCA revealed that Dylan Murray had stepped down as operations director of Drake & Morgan, to “pursue other interests”.
Murray joined the company in January 2015 to oversee the next stage of its growth, which included the acquisition of the Corney & Barrow business last year.
He was responsible for day-to-day operations, as well as enhancing the service and delivering the planned rollout for the company.
Jillian MacLean, managing director, Drake & Morgan, told MCA: “Dylan Murray has left Drake & Morgan to pursue other interests. Dylan joined the business in January 2015 and has been an integral part of the team, supporting Drake & Morgan through a period of rapid growth. We would like to thank him for his tremendous input and we wish him all the very best for the future.”