Inception Group has issued results for the year ended 31 December 2022, with turnover up 80% year-on-year to £22.7m.
The London-based experiential bar operator further reported profit before tax of £3.1m, with EBITDA of £4.6m
In comparison, turnover was £12.7m and profit before tax was £802,118 in 2021, with EBITDA of £2.4m.
Despite the impact of Omicron at the beginning of 2022, headline trading continued to hold up “very strongly” for the remainder of the year, albeit the cost base was affected by inflationary pressures.
The business expects more benign inflationary pressures and margins to recover to normalised levels by mid-2024.
The estate currently comprises 14 venues, including eight under the Mr Fogg’s concept, one Bunga Bunga, one Barts, one Maggie’s, two Cahoots, and one Control Room B.
Its newer sites are delivering “in line with business case” are on track to deliver strong return on investment, according to the update.
Earlier this year, the group secured a £6.7m loan from OakNorth Bank to support expansion.
Inception Group considers award-winning bars, a leading social media presence, the individuality of its venues, a multiplicity of formats, a wide demographic appeal, a high level of repeat visits, and strong international interest to be among its strengths.
“With sales up 80% year on year and EBITDA up nearly 88%, management consider 2022 to have been a very strong year with a lot of positive achievements and improvements. However 2023 is expected to be considerably more challenging with the trading backdrop looking a lot more turbulent. However we do expect 2024 to show strong recovery and we remain extremely confident about the long term business outlook.”
