RedCat heralds ‘transformational year’, emerged as a ‘stronger, leaner and more coherent business’: RedCat Hospitality, the operator of Coaching Inn Group and RedCat Independent Pubs, has heralded the 12 months to the end of March 2025 as a “transformational year” with the company emerging from it a “stronger, leaner and more coherent business”. The circa 95-strong business, which was founded and chaired by Rooney Anand, said adjusted Ebitda for the period was up 290% to £8.8m (2024: £2.2m), with site Ebitda up 42% to £18.7m (2024: £13.2m), and like-for-like sales up 2%. Total revenue for the group was down slightly, 4.3% to £124.3m (2023: £129.8m), but the business said it expected to be back in revenue growth in 2025. RedCat also said the drop in revenue reflected the disposal of a number of non-core sites during the year, some of which were loss-making, with the proceeds invested back into the core business via its investment programme. The business, which earlier this year launched an £8m capital investment programme, said the 12-month period marked a number of significant milestones for the group, including a restructuring, a refinancing, a return to investment in the estate, and a jump in underlying profits. Richard Lewis, chief executive of RedCat Hospitality, said: “This was a transformational year for RedCat. The team has worked through a huge amount of change. What has emerged is a stronger, leaner and more coherent business, which is performing well, is in good growth and has lots of exciting opportunities ahead. We have delivered a significant rise in site Ebitda which in part reflects the very strong performance of The Coaching Inn Group, demonstrating the continued demand for good quality rooms coupled with excellent customer service. This part of the business remains very much the jewel in our crown with plenty of potential for the future as a proven format for growth. During this period, RedCat Independent Pubs executed a strategic disposal of several non-core sites, reinvesting proceeds into a targeted investment programme that is already driving material growth. A flagship example is the £3m refurbishment of the iconic Castle of Brecon Hotel in South Wales, which has delivered a 94% sales uplift in the first quarter since reopening. Further investments across sites in Leicestershire, Nottinghamshire and Staffordshire are also performing strongly, with these pubs collectively delivering 20.3% like-for-like sales growth in the first quarter of the current financial year, supporting RedCat Independent Pubs' overall 6.2% like-for-like uplift.” Earlier this month, the business reported a 6.7% increase in like-for-like sales in the three months to the end of June 2025. The business said total sales during the period stood at £32.7m, with Coaching Inn Group contributing £19.1m, and RedCat Independent Pubs £13.6m. The company also returned to the acquisition trail with the purchase of The Warwick Arms Hotel, Warwick, in July.

Inception Group – 2025 forecast to see revenue exceed £30m for first time, actively looking for sites outside of London both regionally and internationally: Inception Group, the London hospitality group known for its immersive venues, has said its revenue for 2025 is forecast to exceed £30m for the first time, and told Propel that it is actively looking for sites outside of London both regionally and internationally. It comes as the business, which was founded by Charlie Gilkes and Duncan Stirling, posted revenue of £28.9m in 2024, a 9.4% increase on the previous year.  The 15-strong business said like-for-like revenue in the year was up 6.4%, while Ebitda increased 3.4% to £3.1m. Earlier this month, the company opened Bunga 90, a completely reimagined concept, centred around the 1990s on its former Bunga Bunga site in London’s Covent Garden. Gilkes said: “2024 saw strong like-for-like revenue growth and in October of last year we opened our second Cahoots location in Borough Yards, which continues to trade beyond expectations. Margins came under pressure in 2024 due to a multitude of cost inflation. Total group revenue will exceed £30m for the first time in 2025 and margins have started to improve. In September of this year Bunga Bunga relaunched as 'Bunga 90', a completely reimagined concept with incredibly promising early signs. We will shortly be announcing some exciting pipeline sites for 2026.” Gilkes told Propel the upcoming Christmas period is “looking very strong, especially the corporate bookings”. He added workers generally are spending less time in offices due to working from home and therefore have an even greater desire to get people together at this time of year. He said: “As long as we aren't derailed by tube strikes, we should have our best Christmas period ever.” He said the business still sees “so much growth potential in London”. He said: “So our next couple of sites announced are likely to be in the capital but we are actively looking outside of London both regionally and internationally.” Gilkes said growth is being driven from sites across the board “as consumers gravitate towards experiential venues”. He said: “We are finding the Tavern format (found in our Mr Fogg's and Cahoots estate) is proving to be particularly popular with our consumers.” In terms of any timeline on investment options, he said: “We have a very supportive bank in OakNorth and for now we are continuing to fund growth through debt and cash reserves.”

Almost half of Brits believe their local high street is in decline as UKHospitality calls for Budget measures to help their revival: Almost half of Brits (42%) believe their local high street is worse than it was a year ago, according to a new survey. The findings, published during the Labour Party Conference, reveal the sense of high street decline is felt most significantly in suburban and rural areas. The survey of 5,000 consumers, produced by CGA by NIQ in partnership with technology provider Zonal, showed that those in suburban areas (55%) believe their high street is worse than it was a year ago, with a similar response from consumers in rural areas (48%). In contrast, only 19% of consumers in city centres hold this view. UKHospitality said the results make clear many communities living outside of big cities feel that they are being left behind, with their high streets declining. The trade body said the survey reinforces the urgent need for chancellor Rachel Reeves to introduce measures at the Budget that can revive and regenerate high streets. UKHospitality is calling for the chancellor to implement the maximum possible business rates discount for all hospitality properties under £500,000 rateable value, alongside a zero rate surcharge for properties above that rateable value, which will level the playing field for the high street, reduce costs and remove barriers to investment. The survey revealed the public overwhelmingly (74%) believe hospitality needs and deserves more support from government. UKHospitality chief executive Allen Simpson said: “We should not be faced with the situation where our towns, suburbs and villages feel that their high streets are in decline. It affects our sense of local pride and place, and has wider implications for our communities and local economies. This needs urgent action, and it’s no coincidence this is happening at the same time as hospitality businesses are being taxed out. One of the major barriers to high street investment and regeneration is the outdated business rates system. Bricks and mortar businesses, like our pubs, restaurants, hotels and cafes, have for decades paid far more than their fair share and it’s time to level the playing field.”