Various Eateries – current trading ‘encouraging’, returns to like-for-like growth and reports record adjusted Ebitda: Various Eateries, the Hugh Osmond-backed business that operates the Coppa Club and Noci concepts, has said trading to date in its current financial year has been “encouraging” as it reported a return to like-for-like growth and record adjusted Ebitda. The company stated: “The festive period was particularly strong, with trading materially ahead of the wider market. Over the five-week period to 4 January, group like-for-like sales increased 9%, led by Coppa Club (like-for-like growth of 12%). Performance peaked on key trading days, including Christmas Eve (group up 15%, Coppa up 18%), Boxing Day (group up 12%, Coppa up 16%), New Year’s Eve (group up 17%, Coppa up 24%) and New Year’s Day (group up 39%, Coppa up 53%), reflecting a more targeted commercial approach. With good momentum in trading and a stronger operational platform, we are actively progressing a pipeline of new sites, with near-term expansion focused on Coppa Club. Alongside organic growth, we continue to assess assets that align with our brands and capabilities with a clear focus on quality, returns and strategic fit. While we remain mindful of the challenges facing the sector, on the basis of current trading we are confident of delivering a strong performance in FY26 and believe the group is well positioned to continue building momentum. Looking ahead, we believe the business is well positioned for its next stage of development. The operating platform has been strengthened, the management team has the experience and depth to support growth, and the business has the capacity to expand the estate without a meaningful increase in central costs. We continue to explore potential new sites and, alongside organic growth, are actively assessing high-quality, complementary M&A opportunities that could enhance the portfolio and meet our return criteria.” It comes as the group reported revenue grew 6% to £52.4m for the year ending 28 September 2025 (2024: £49.5m). Group like-for-like sales growth of 2% (2024: down 1.0%), led by Coppa Club (up 3%), with second half group like-for-like growth of 4%. The group posted record adjusted Ebitda of £1.4m (2024: £0.3m) “driven by strong trading performance and operational improvements”. The group said there had been “clear progress in operational execution across the estate”, with improvements in service delivery, menu focus, labour deployment and cost discipline. An improved conversion at site level was supported by “stronger venue leadership, clearer accountability and more consistent execution”. During the year, the group refurbished its Coppa Clubs in Guildford and Cobham, and made further enhancements to its terraces to “better serve guests during the summer months”. Chief executive Mark Loughborough said: “FY25 was a clear step forward for Various Eateries, where we turned intent into delivery. We tightened execution across the estate, strengthened the team and embedded a more disciplined, consistent way of operating, giving us a stronger platform to build from. The return to like-for-like growth and record adjusted Ebitda is the result, and a huge credit to our teams given the challenging consumer backdrop and ongoing cost pressures across the sector. The focus now is on the next phase. We have a clearer playbook and real momentum, as evidenced in the solid start to FY26, including a particularly strong Christmas period. Our goal is to build a bigger, better hospitality group by scaling our brands with discipline, investing selectively in the estate and, alongside organic growth, actively assessing high-quality, complementary M&A opportunities where the strategic fit is clear and the quality and returns stack up.”

 

Escape Hunt operator says initial signs of sector consolidation ‘starting to accelerate’ as it issues profit warning: XP Factory, which operates the Escape Hunt and Boom Battle Bar brands, has said there are initial signs of sector consolidation “starting to accelerate”. It comes as the group reported a slower than expected performance in Boom’s business-to-consumer business over the key festive period has continued into January. As a result, the board now expects FY26 revenue and Ebitda to be below current market estimates with the board expecting FY26 pre-IFRS16 adjusted Ebitda of between £5.0m and £6.0m. The company stated: “While the long-term growth opportunity remains highly attractive, due to challenging market conditions impacting like-for-like growth and cost inflation, the board has taken the prudent view to moderate the pace of new site openings in the near term. FY27 is also therefore expected to be a year of consolidation, with remaining uncertainty driven by market conditions.” The company reported record quarterly sales with UK owned and operated revenue growth of 4.2% in the 13 weeks to 28 December 2025. Adjusted Ebitda stood at £4.8m in the 39 weeks to 28 December 2025 (up £0.1m versus the prior year). Escape Hunt UK owned and operated sales were up 10.0% in the 13 weeks to 28 December 2025, driven by 6.4% like-for-like growth and new site openings. New sites have opened in the current year in Canterbury, Sheffield and Resorts World in Birmingham and are “trading in line with expectations”. An Escape Hunt in Colchester is in build. The group reported positive overall growth within its Boom owned and operated venues but “continuing like-for-like sales decline, with ongoing sector softness”. Sales were up 2.5%, with +9.7% attributable to the annualisation of prior year acquisitions and site openings. UK like-for-like sales declined 7.2% in the 13 weeks to 28 December 2025 “as strong corporate bookings were unable to compensate for declines in consumer sales”. The group said a sharpened focus on cost control has resulted in £2m annualised run-rate cost savings so far, partially mitigating the impact from like-for-like declines and labour cost inflation. The group said initial signs of sector consolidation starting to accelerate, reflecting challenging market conditions within the competitive socialising industry which experienced a 9% like-for-like sales decline during calendar 2025. The group stated: “Within the competitive socialising segment, these financial challenges are becoming increasingly evident, with several operators entering administration during the year. Meanwhile Escape Hunt has continued to see a reduction in direct competition. As the scale operator, Boom is in a healthy position to thrive when market conditions improve, reflecting the precedent in the Escape Room industry where Escape Hunt has emerged as the clear winner through a prolonged period of consolidation. While XP Factory has not been immune to these near-term external influences, the group has outperformed the industry and made further progress towards achieving its longer-term strategic objectives. The site pipeline remains vibrant, and the most recent trading data only serves to reinforce the view that Escape Hunt, with its market leading return on capital and deep customer resonance, can in the medium-term become a 100 site business within the UK alone. However, in light of the macroeconomic uncertainty, the board has decided to adopt a more cautious approach to near-term capital deployment and will in the near-term slow the pace of new openings to preserve a material headroom against the company’s borrowing facilities. At 28 December 2025, the group had net debt of £5.6m, giving significant headroom relative to covenant limits.” Chief executive Richard Harpham said: “Against a backdrop of well-documented industry challenges, we have continued to outperform the wider experiential leisure market and make progress against our strategic objectives. While near-term trading within Boom has been impacted by market pressures, with strong market positions and a compelling UK growth runway, we remain well positioned to emerge as a long-term winner as the sector continues to consolidate.”

 

Safestay chair – ‘proposed tourist tax risks killing off staycation boom’: A proposed “tourist tax” on overnight visitors in the UK will redirect travellers away from Britain and risks killing the country’s staycation market, Larryn Lipman, chairman of Safestay, one of Europe’s largest hostel groups, has warned. In November, the government announced plans to give mayors in England the power to impose levies on international and domestic visitors staying in hotels, hostels, guest houses, holiday lets and bed and breakfasts. The money raised would go towards transport and infrastructure projects. Lipman warned the tax burden would hit customers directly and deter both international and domestic tourists from exploring the UK. A recent survey by Safestay found nearly a third of the 2,000 people surveyed said they expected to spend less in 2026 despite more than half planning to travel more often. Lipman said there was a risk of “killing off” the staycation market, which was “driven by value”, as customers would be directly hit. “If we further hinder that value, you are working for other countries in truth,” he told The Times. UKHospitality has estimated the holiday tax will cost the public up to £518m in additional taxes. Lipman has laid out his ambition to double the size of Safestay’s 21-strong portfolio, and while he would like to expand the business into cities such as Manchester and Cardiff, he sees better opportunities for the group elsewhere. The government has launched a consultation on the proposals with businesses and communities, due to finish this month, which will consider the level of the levy. Lipman warned the government should not ignore the hospitality industry’s expertise. “One must remember the industry is not screaming and shouting because it has nothing else to do, it is in panic mode and the government must sit up and see that,” he said.

 

Startup that has developed packaging that keeps food fresher for longer receives investment from Leon co-founder: A startup that has developed packaging that keeps food fresher for longer has received investment from Henry Dimbleby, co-founder of healthy fast food brand Leon. Bramble Partners, a venture capital firm chaired by Dimbleby, has announced its first investment, in Klura Labs, founded in 2020 by scientists Matin Mohseni and Reza Saberi Moghaddam. Klura Labs, has developed packaging that keeps food fresher for longer, reduces waste and removes the need for preservatives. Its stickers and film are inserted into current food packaging, turning it into an active defence against bacteria and mould. The investment from Bramble is understood to be between £1m and £5m and Klura Labs is the first company to benefit from its £100m Pioneer Fund. Dimbleby, who also authored the National Food Strategy, published in July 2020, launched Bramble in 2024 with a goal to transform the world’s “unsustainable” food system. Dimbleby, who co-founded Leon in 2004, told The Times: “Our food system is a disaster and we waste 30% of our food. It is the biggest cause of destruction of nature and the second-biggest cause of climate change. The simplest way to stop that is to stop throwing stuff away. If you can reduce the food waste, you literally reduce every impact.” While trials of Klura Labs’ packaging have so far focused on soft fruit and bread, it is hoped the technology could be used in other areas. It is currently undergoing a commercial trial with a British supermarket. One recent test compared grapes in normal wrapping with those that use the technology. On day ten, 60 punnets of standard grapes had to be thrown away compared with only seven of those that used Klura Labs’ product.