This week XP Factory released its final results for the year end 31st December 2021.
Revenue increased by 228% vs prior year to £22.8m and yet the share price hardly move. Is this an opportunity?
I put the figures through the spreadsheet to see if there's potential upside.
FINANCIAL HIGHLIGHTS
- £22.8m Group revenue - up 228% vs prior year (2021: £7.0m)
- £2.6m adjusted EBITDA pre IFRS16 (2021: loss £0.6m)
- £1.3m Group operating profit (2021: loss of £0.5m)
- 35% return on capital across Escape Hunt owner operated estate
- £3.2m cash at year end (2021: £8.2m) and £4.0m on 30 April 2023
OPERATIONAL AND STRATEGIC HIGHLIGHTS
- Successfully integrated Boom Battle Bar into XP Factory Group
- Opened 27 Boom sites by the end of 2022 - 11 owner operated and 16 franchised
- Opened 4 new Escape Hunt sites and relocated 1 other, expanding UK estate to 23 venues (2021: 19)
- Achieved 97% customer satisfaction ratings across both brands
POST YEAR END
- 3 Boom sites and 1 Escape Hunt currently in build, with a developed pipeline underpinning site roll-out targets for the year
- 44% LFL sales growth delivered across Q1 2023 in the Boom sites that were trading last year, with operating metrics maturing as expected
- Boom franchise sites performing in line with the Board's expectations
- 32% LFL sales growth across the Escape Hunt owner operated estate, with overall trading ahead of the Board's expectations in Q1 2023