In its financial results for the year ended 31 March 2024 the group reported a slight dip in revenue, with turnover falling to £17.8m over the period from £18m the year before, which it attributed to the sale of Battersea Rise and the streamlining of delivery platforms from three partners to two.
However, restaurant EBITDA improved 40% to £2.8m, while group EBITDA rose from a loss of £76,000 to £884,000 profit over the period.
Additionally, there was a £1.1m swing in operating profit, rising to £155,000 from a loss of £947,000 the previous year.
Describing the year as ‘the most accelerated period of growth’ in the history of the business, the group added four sites to its portfolio over the period, bringing its total estate to 16.
New openings included two company-owned sites in central London, and a huge 256-cover restaurant in Gatwick Airport, which it launched in partnership with SSP.
So successful has the Gatwick site been that the group has followed it with a second franchise restaurant, which recently opened in St Pancras International, with a third to follow.
Writing in the group’s accounts, The Breakfast Club’s directors said gross profit and staff costs are in the ‘best position’ they have been in since its inception in 2005, despite cost pressures.
They added that they believe the company’s operating efficiency is now in line with the best in-class comparable operators in the UK, and that the strength and longevity of the brand combined with its significantly improved financial performance bodes well for future expansion.
