XP Factory PLC on Monday reported a reduced annual loss, as revenue from Boom Battle Bar franchise surged.

The Crawley, England-based entertainment company operates the Boom Battle Bar and Escape Hunt brands.

It said its pretax loss was £539,000 for the 15-month period that ended March 31, narrowed from a £1.1 million loss in calendar 2022. XP Factory recently moved its financial period to a March 31 year-end from December 31.

XP Factory increased its revenue to £57.3 million at the end of the period. This was up from £22.8 million in the prior 12 months.

The increase was driven primarily by the Boom estate, as its revenue more than tripled to £37.5 million from £9.5 million in the 12 month period of 2022. Revenue for the Escape Hunt estate grew 71% to £16.7 million from £9.8 million.

Since the recently financial year ended, like-for-like sales were up 1.5% at Escape Hunt sites in the 20 weeks to August 18, whilst Boom sites saw a 1.9% growth in like-for-like sales across the same period.

The company continues to pay no dividend, as it is loss-making.

Chief Executive Richard Harpham said: ‘I am delighted to report on another exceptional period of growth which has delivered results ahead of market expectations. Our focus on incremental improvements alongside ongoing expansion in the estate has helped deliver market leading returns on investment in both our brands and strong operating cash generation.’

The company achieved its targets of opening three new Boom sites and one new Escape Hunt site during the 15-month period. One of the Boom sites opened in Dubai, expanding the company’s international territory. It also bought back five further Boom sites and since the period end have bought back another three. As a result, at the end of the period, XP Factory had 20 owner-operated Boom sites.

Since the March year-end, XP Factory has received credit approval for a new £10 million revolving credit facility from Barclays.

Looking ahead, XP factory remains positive, citing its new sites and banking facility as a ‘strong endorsement’ of its progress. It said that although the rate of growth has slowed in comparison to the same period last year, this reflects the gradual maturing of the estates.

Shares in XP Factory were up 1.6% to 14.03 pence each in London on Monday morning.

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