Five Guys – reduced consumer confidence and inflation impacts full-year Ebitda, as losses widen: Better burger brand Five Guys has reported a drop in Ebitda in the year to 31 December 2024, while its pre-tax losses widened to more than £36m, as it said its performance was impacted by a “reduction in consumer confidence”, inflation, and “political instability”. The business, which at the end of the period operated 281 sites across the UK, France, Spain and Germany, reported turnover £560,022,000 for the year (2023: £542,915,000), with Ebitda + pre-opening costs of £58m (2023: £61.3m) and operating profit of £29.1m (2023: £45.5m). The company, which opened 28 sites in the year and closed three, saw its pre-tax loss widen from £16,217,000 in 2023 to £36,721,000 last year. Turnover across its circa 170-strong UK business for the year stood at £320,808,000 (2023: £316,422,000). The company said: “The group continued its expansion and the directors are confident in the growth plans going forward in all territories. The political landscape shifted during the year with elections in the US, a change of government in the UK and elections announced in Germany after a period of political instability, all of which had a negative effect on consumer confidence. Inflation, whilst significantly lower than recent years, continued above recent historical norms. Revenue increased in the year by 3% to £560.0m (2023: £542.9m) reflecting the increase in store count. Ebitda before pre-opening costs decreased to £58.0m (2023: £61.3m) reflecting the reduced consumer confidence and inflation noted above. Operating profit was £29.1m (2023: £45.5m) reflecting the underlying performance as described above, along with non-cash impairment and LTIP charges.” The group had £267m of investor loans at the end of the year, maturing in June 2028. In July, the business completed the refinancing of its debt facility, securing £185m to support its “ambitious growth plans across the UK and its European territories”. Five Guys said the financial backing “underscores its commitment to solidifying its market dominance in the premium burger category”. The newly secured funds will be used to facilitate the rollout of new restaurant locations, further extending the brand’s existing footprint in the UK, France, Germany and Spain. 

Inn Collection Group – 2024 a year of further growth, further acquisitions planned: The Inn Collection has said that 2024 was a year of further growth for the business with three new sites opened and “multiple quality refurbishments completed”, and told Propel that it planned “further acquisitions and refurbishments where appropriate opportunities exist into 2025 and beyond”. In the year to 31 December 2024, the group achieved turnover of £65,711,000 (2023: £52,593,000), and group Ebitda of £9.3m (2023: £4.1m). Its pre-tax losses for the period stood at £12,776,000 (2023: loss of £12,689,000). At 31 December 2024, the group was trading 1,083 rooms (31 December 2023: 942 rooms) available across 26 sites (2023: 25). It said that significant investment has been made in acquisitions and renovations since the balance sheet date with plans to continue investment over the coming years. Earlier this summer, Propel revealed that the company, which has 30 sites currently trading and two being refurbished to its new model, had secured a £125m refinancing through HSBC, consolidating its existing debts under one facility. The company told Propel: “2024 was a year of further growth for Inn Collection Group, with three new sites opening, multiple quality refurbishments completed, and a further site remodelled significantly during the year with the goal of launching at the end of Q1 2025 into the North Wales market. Revenue grew strongly across all channels, with more rooms occupied, drinks served, and meals sold than ever before, as much of our estate traded their first full year post their recent refurbishments. Thanks to the hard work and expertise of our excellent teams, we stayed true to our commitment of great customer service across the estate in some of the very best locations in Northern England and Wales. We invested in training and technology, pushing forward our understanding of our business, our customers and how best to serve them efficiently and effectively. We invested in our estate and will continue to do so in 2025, supported by our new banking partners HSBC following a group refinance in summer 2025. The group will continue to expand our footprint and offer, alongside our Brand reputation and trust, with further acquisitions and refurbishments planned where appropriate opportunities exist into 2025 and beyond.” The business said that potential new build sites and further acquisitions are constantly being assessed and it is anticipated that at least one further new build site or acquisition will be committed to during 2026. It said: “In anticipation of the growth of the business the group has added to its head office team to provide a support function to drive the business forward. As we move into 2026 and 2027, we will further embrace a scalable mindset, investing in technology-led process and customer experience improvements. The core team is now substantially in place and is having an encouraging impact on improving site profitability.”

Farmer J secures $23m of new funding: Farmer J, the all-day market concept, which is set to make its US debut by the end of this year, has secured $23m (£17.5m) of new funding to aid its further growth. City AM reports that the investment, in which existing backer Beringea participated and was joined by a new global hospitality investor, will also fuel three additional London openings before year-end, as the chain transitions from a “City lunchtime staple to a global contender”. As previously revealed by Propel, the Jonathan Recanati-led business has secured a site at 31 West 52nd Street in Manhattan, with an opening planned for December. “Launching into New York later this year is a big milestone for our brand”, Recanati said. “There’s so much opportunity in the US fast-casual space”. Last month, the company reported turnover for the year to 29 December 2024 stood at £27,910,722 (2023: £17,942,067), with a pre-tax loss of £494,767 (2023: loss of £618,522). During the year, the business opened three new restaurants, bringing the total estate to 13, continued to invest in digital ordering platforms and saw strong demand across delivery channels, which now account for circa 25% of sales. In the first quarter of 2025, a further two Farmer J sites were opened in London, with a further three sites secured and to be open by the end of 2025 in London. By the end of 2025, the business expects to have 18 sites open in the UK and one in the US. The company announced last year that it was exploring an international launch, with a focus on the east coast of the US, targeting locations in New York and Boston. Founder Jonathan Recanati told Propel: “We are excited to be taking our first international steps as a business in New York. We have secured a wide-frontage site with a typical Farmer J demographic in that the area has a lot of young professionals and offices.” As previously revealed by Propel, the company has secured a site in Coleman Street for an opening in November. Farmer J also plans to open a site at 237-238 Tottenham Court Road, on the corner of Bayley Street in Fitzrovia. Farmer J plans to also open that site in November and is in advanced talks on a further Central London site that it hopes to open in December. 

Esquires owner signs Tesco Ireland partnership agreement: Cooks Coffee Company, owner of the Esquires brand, has entered into a new partnership agreement with Tesco Ireland, under which five Esquires stores are scheduled to open in selected Tesco stores before the end of November 2025. Tesco operates 193 outlets across Ireland. The initial five stores are planned for Arkeen Waterford (Munster), Wexford Town (Leinster), Clonmel (Munster), Tullamore (Leinster), and Youghal (Munster). The company said that the five new stores will be operated by franchisees who already operate very successfully within the Esquires Irish network. It said that both parties view this as “a highly complementary partnership, bringing the Esquires premium coffee and food offering to select Tesco locations”. Aiden Keegan, chief executive of Cooks Coffee Company, said: “We are delighted to be rolling out our stores within Tesco in Ireland, and we are looking forward to working with Tesco.”

Drinking after work gives the economy a hangover: For many people, post-work pints are an integral part of office life. But a report says that going to the pub after a long day is harming economic growth. The Times reports that one in three people called in sick over the past year when hungover after going out with colleagues, according to the Institute for Public Policy Research (IPPR). The think tank said that “workplace drinking culture” was contributing to high sickness rates and “poses a significant threat to the UK’s economic performance”. Alcohol-related absence was highest among senior executives, 49% of whom said they had called in sick after a night out with colleagues over the past six months. Young professionals had the second highest absence rates, and more than one in three Gen Z workers said they felt under pressure to drink to progress and fit in at work. The report, based on a survey of more than 2,000 adults, said that heavy drinkers were three times more likely to exhibit presenteeism – when they are at work but not being productive. Meanwhile, 22% of workers said they had worked while hungover, and 29% noticed colleagues were tired or sluggish after drinking. Sebastian Rees, head of health at IPPR, said: “Employers have a huge opportunity here. By shifting away from alcohol-centric cultures and offering real support, they can boost wellbeing, improve performance, and build more inclusive workplaces.”