Nightcap ‘outperforms’ UK bar market as FY sales rise
The Cocktail Club owner Nightcap saw revenue rise by 3.4% in the year ending September 2025, as the group continues to revamp underperforming venues.
In its unaudited full-year results, UK-based bar operator Nightcap reported revenue of £57.5 million (US$75.6m), up from £55.6m (US$73.1m) on October 2023 to September 2024.
Nightcap called it a ‘significant’ improvement on the previous year when sales declined by 2.9%. The business claims to have ‘significantly outperformed the wider UK bar market’.
The group said it had delivered a year of ‘growth, profitability and transformation’ despite operating in the ‘toughest economic trading environment in years’.
Founded by former Dragons’ Den star Sarah Willingham in 2020, Nightcap has grown its portfolio through the acquisitions of bar chains such as The Cocktail Club, Adventure Bar Group (owner of the Tonight Josephine bars), The Piano Works, Dirty Martini and Barrio.
The business reported record site earnings before interest, taxes, depreciation, and amortisation (EBITDA) of £9.4m (US$12.3m), up by 17% on 2023/24.
For the last four months of its financial year, Nightcap saw year-on-year growth of 1.1%. It noted that the business, like most of the bar industry, was impacted by the UEFA Euro 2024 men’s football tournament in July – a period when most drinkers head to pubs to watch the games. For context, it cited CGA data that revealed the overall UK bar market declined by 5.7% over the same period.
Excluding the impact of the Euros, Nightcap said its sales for the four months were up by 4%.
Over the past 12 months, the company has raised £3.4m (US$4.5m) in equity, invested more than £1m (US$1.3m) in the renovation of the Brighton i360 viewing platform, and launched three new venues across the UK.
The company opened The Piano Works in Cardiff as the brand’s first outpost outside of London and its third Piano Works site. The opening replaced the former Dirty Martini venue.
Nightcap also opened the Drift Bar & Grill within the Brighton i360 and converted Tonight Josephine in Clapham, London, into a new ‘low-budget’ venue, called Afters.
Of the Clapham rebrand, Nightcap said this move ‘serves as a blueprint for transforming certain other underperforming sites within the London estate’.
The company has also closed several bars under its Barrio brand with only the Shoreditch and Soho sites remaining. The Watford outpost closed in 2023, just nine months after opening.
Nightcap started a refurbishment programme of ‘underperforming venues’ in London, starting with the revamp of Barrio Soho to La Familiar at the start of November. Four more sites in the city will be revamped in 2025/26.
Over the summer, Nightcap launched its ‘Hothouse Programme’ which focuses on improving the performance of a selection of ‘sub-optimal’ sites in London. The company did not name which venues were in this group but said early results showed ‘material uplifts’ in sales and profitability for several bars.
Furthermore, Nightcap said it had completed a ‘significant’ restructuring of its head office functions, which has resulted in savings of £800,000 (US$1m), with an additional £1m (US$1.3m) to be saved in 2026.
Outlook
Nightcap said it had been affected by increased National Insurance contributions and National Minimum Wage hikes, which has impacted the hospitality sector.
To overcome these challenges, Nightcap plans to tap into growing trends such as live music and community-focused bars.
The group expects the Brighton i360, Piano Works Cardiff and Afters Clapham sites to ‘underpin continued significant revenue and EBITDA growth’ for the 2025/26 full year.
In addition, Nightcap believes Piano Works has strong roll-out potential both within the UK and internationally. The group is looking at new venues in 10 cities across the UK.
In other UK on-trade news, the firm behind the Revolution and Revolución de Cuba brands is exploring options for the business’ survival, including a formal sales process.
Revolution’s parent company previously rejected a proposal from Nightcap.
Related news
UK licensing reform gets lukewarm response from on-trade
