Hard Rock Cafe nears return to profit as UK sales rise
Hard Rock Cafe took a huge step towards returning to the black in 2023 as it continued its recovery from the Covid-19 pandemic.
The themed restaurant chain’s London-headquartered division reported a pre-tax loss of £1m for the 12 months, after having posted a loss of £9.4m for 2022.
The last time the company reported a pre-tax profit was the £2.9m it achieved in 2018. Since then Hard Rock Cafe UK has lost more than £40m.
Newly-filed accounts with Companies House also show that the firm’s revenue increased from £27.2m to £32.5m over its latest financial year.
The last time its turnover was more than £30m was the £30.7m it reported in 2019.
Hard Rock Cafe said it began to return to pre-pandemic trading levels by the start of the financial year.
As a result, year-on-year retail transactions increased by 16 per cent and restaurant sales rose by 11 per cent.
The average spend across retail use by seven per cent and the average spend in its restaurants grew by 12 per cent.
Hard Rock Cafe eyeing further UK growth
A statement from the company said: “Directors have assessed the ability to sustain the current financial performance over the next two to three years.
“Having taken into consideration the broader leisure and tourism markets that drives restaurant and retail income through sales growth, even in the face of difficult macro-economic and geopolitical factors affecting the global tourism economy, the directors believe that the company’s financial performance will continue to improve to pre-pandemic levels.”
Hard Rock Cafe, which also runs memorabilia shops, casinos and museums, was founded in 1971 by Isaac Tigrett and Peter Morton in London.
The company, which is now headquartered in the US, achieved a turnover of $5.9bn (£4.4bn) in 2023.