Turning the Tables: Honest Burgers' Path to Expansion and Profit
Posted by Emily on 15th Mar 2024
Honest Burgers is set on expanding its footprint following a significant loss reduction for the fiscal year ending 29 January 2023. The brand witnessed a turnover surge of 26% to £48.3 million, fuelled by an 11.3% increase in comparable sales. This financial uplift is detailed in the latest Companies House filings.
Andy Li, CC0, via Wikimedia Commons
The company's operating losses were cut by over half to £3.1 million. In comparison, adjusted EBITDA soared by 192% to £3.5 million, indicating a robust recovery and operational efficiency.
Honest Burgers opened two new locations during this period, although four were closed subsequent to the reporting period. Despite this, the brand is actively seeking opportunities to grow its presence. Moving away from the dark kitchen concept, the company reports that delivery services continue to thrive, contributing to nearly a third of its revenue stream.
In 2023, an impressive nearly £3 million was raised through crowdfunding, earmarked for opening new outlets and introducing a fast-service burger offering centred around its famous smashed burger.
Honest Burgers' financial statement reflects resilience and adaptability: "The group has emerged strongly from the pandemic, underscoring the perennial demand for quality products and services. We aim to fulfil our long-term business objectives through a strategic head office restructure and continuous efficiency improvements."
The report also highlights the hospitality sector's ongoing challenges, from adapting to post-pandemic working patterns to navigating the uncertainties of recent train strikes and the Ukraine conflict's impact on costs. Despite these hurdles, the company remains committed to safeguarding the well-being of both customers and staff while securing the business's future.
We invite your insights and discussions below. How do you view Honest Burgers' strategic decisions and their impact on the business landscape? Share your thoughts and join the conversation.