Soho House owner cuts yearly forecast despite buoyant UK membership
The company behind Soho House has slashed its yearly forecasts even as its UK membership has soared.
Membership Collective Group said that Soho House had boosted its UK membership by 20 per cent in the past year from 45,277 to 54,764.
The Wall St-listed group marked a 96 per cent revenue, with sales hitting $243.8m.
This growth came despite some continued side effects from Covid, particularly in Hong Kong, as well as increased cost headwinds.
It was on track to open a nine new Soho House venues this year, as well as sanother The Ned in New York.
However, its losses swelled dramatically in the three months to 3 July 3, widening to $83.6m, versus $57.1m.
The company reduced its guidance for the year, bringing its revenue projection down from between $950m and $1.025bn to between $910m and $980m.
The firm also cut its adjusted earnings projection from between $80m and $90m to between $70m and $80m.
Covid measures in Hong Kong had been “super challenging” for the group, Andrew Carnie, Membership Collective president told The Times newspaper. However, he was confident that the region would recover
The news follows that of Dean Street’s Groucho Club being snapped up by hospitality operator Artfarm in a deal reported to be worth £40m.