Interim Results

Bow Street Group PLC

15 September 2026

 

15 September 2026

("Bow Street Group", the "Group" or the “Company”)

Unaudited interim results for the 26 weeks ended 28 June 2026

Improved trading reflecting management actions resulting in +5.6% like-for-like sales growth

Bow Street Group (AIM: BOW), the owner and operator of “Wildwood” and “dim t” restaurants, announces its interim results for the 26-week period ended 28 June 2026 (“H1 2026” or the “Period”).

Financial highlights:

• Like-for-like revenue, which excludes the impact of restaurant closures and refurbishment days, increased by 5.6%, reflecting management actions to improve the performance of the estate
• Reported revenue of £14.4m (H1 20251: £15.1m), a decrease of 4.6%, primarily driven by a reduction of the Group’s estate with 29 restaurants trading at the end of the Period (29 June 2025: 32 restaurants)
• Adjusted EBITDA2 of £0.5m (H1 2025: £1.2m)
• Operating loss before highlighted items for the Period of £0.7m (H1 2025: loss £0.2m)
• Loss after tax of £0.2m (H1 2025: loss of £7.5m)
• Net cash balance at 28 June 2026 (excluding property lease liabilities) of £7.9m (29 June 2025: £2.4m)

Operational highlights:

• Strong improvement in like-for-like performances delivered at restaurants where targeted capital investment has been deployed, with previously underperforming locations returning to like-for-like growth following refurbishments
• New Wildwood menu introduced in May 2026 has received positive customer feedback
• Investment in technology continues across the Group in-line with its growth strategy

Current trading and outlook:

• Trading has continued to improve since the start of the second half of the financial year, with like-for-like sales increasing by over 8.5% during the first 8 weeks of the summer months of July and August 2026
• The Group continues to manage its estate and, since the Period End, has closed 1 further Wildwood restaurant that was loss making, further reducing fixed costs within the business
• The Group’s current estate comprises 25 Wildwood and 3 dim t restaurants
• Current net cash (excluding property lease liabilities) of £7.5m, as at 13 September 2026
• While macroeconomic pressures remain, the Group’s improving trading performance, cash resources and ongoing investment in the existing estate, position it well to deliver further progress as it heads towards the Christmas trading period
• The Group has continued to progress M&A discussions and remains in active discussions with several exciting and scalable restaurant targets

1 The comparative period is 26 weeks ended 29 June 2025 (“H1 2025”)

2 Adjusted for depreciation, amortisation and highlighted items (full definition can be found in note 3 to the unaudited interim financial information)

David Page, Executive Chairman of Bow Street Group, commented:

“We are pleased that 12 months on from the fresh investment across the business, a new identity and strengthened management we are seeing clear benefits of our initiatives to refresh and improve the performance of our restaurants. The actions include investing in technology, refurbishing restaurants, smartening bar areas and terraces, improving street signage, refreshing and enhancing menus and most importantly, building morale across our fantastic teams. The result has been encouraging 5.6% like-for-like revenue growth in H1, which improved to 8.5% over the summer months as many of our restaurants delivered record turnover figures.”

“We continue to assess the market for attractive acquisition opportunities, and we remain in active discussions with several scalable restaurant businesses.”

“Whilst our sector is being presented with many challenges, the actions we are taking will continue to ensure that Wildwood and dim t are well positioned to continue to grow their sales.”

For further information, contact:

Bow Street Group plc	Tel: [phone]
David Page – Executive Chairman Jonny Plant - Chief Executive Officer Nick Wong - Chief Financial Officer
Cavendish Capital Markets Limited (Nominated Adviser and Joint Broker)	Tel: [phone]
Matt Goode / George Lawson / Trisyia Jamaludin – Corporate Finance Dale Bellis / Ella Bedford – Sales and Corporate Broking
Allenby Capital Limited (Joint Broker)	Tel: [phone]
Nick Naylor / James Reeve – Corporate Finance Jos Pinnington – Sales and Corporate Broking
Hudson Sandler (Financial PR)	Tel: [phone] [e-mail]
Alex Brennan / Harry Griffiths / Jackson Redley

About Bow Street Group plc

Bow Street Group plc (AIM: BOW) currently operates the Wildwood and dim t restaurants.

Wildwood serves pizza, pasta and grills at 25 locations across England and Wales. The restaurants offer a wide menu choice and a friendly table service for all occasions.

dim t is a premium restaurant brand providing an Asian-inspired menu in three restaurants, all located in affluent areas. The business offers a differentiated experience for its customers by serving beautiful and delicious food paired with Asian tea and cocktails. Many of its dishes are a contemporary twist on iconic dishes.

September 2025 marked a new chapter for the Group with a successful re-financing and the appointment of David Page as Executive Chairman and Nick Wong as Chief Financial Officer. At that time, the Company embarked on a new strategy to deliver long-term value creation focused on:

• investing in and improving its existing restaurants;
• investing in technology and operations; and
• acquiring scalable restaurant brands that provide great food at value for money prices within environments that are casual, comfortable and fun for both our customers and staff.  

Chairman's statement

Introduction

I am pleased to announce the Group’s unaudited interim results for the 26 weeks ended 28 June 2026 (“H1 2026” or the “Period”).

H1 2026 trading performance

During the Period, the Group has continued to refurbish its restaurants; £0.9m was invested in refurbishment during the Period, requiring 84 closure days across the estate. Three restaurants were also closed in the Period, and as a result the Group traded from 29 restaurants at the end of H1 2026, compared with 32 at the end of H1 2025.

As expected, in H1 2026, reported revenue decreased by 4.6% to £14.4m (H1 2025: £15.1m) primarily due to the impact of the site closures. Once closures and refurbishment days are excluded, Group revenue has continued to increase on a comparative year like-for-like basis of 5.6%.

A new Wildwood menu was introduced across all restaurants in the middle of May 2026. This has been well received by our customers. The business is also now offering a changing specials menu and a wider choice of non-alcoholic beverages. The menu launch was accompanied by a menu price increase covering the National Minimum Wage increase that took place a month earlier in April 2026.

Food inflation remained significant during the Period and in April 2026 labour costs were also impacted by the annual National Minimum Wage increase, coupled with changes in employee rights and sick pay entitlement following the implementation of the Employment Rights Act. The Group continues to manage the cost pressures through various revised menu offerings and a continued drive on labour efficiency.

The Group’s Adjusted EBITDA* for the Period was £0.5m (H1 2025: £1.2m), down as a result of the decreased revenue and site closures, while the Group incurred an operating loss before highlighted items** of £0.7m (H1 2025: loss of £0.2m). Highlighted items in the Period was a credit of £1.0m (H1 2025: charge of £6.6m) reflecting £1.3m gain from the disposal of the closed restaurants in the Period and £nil impairment losses (H1 2025: impairment loss of £7.0m). Therefore, the Group’s reports a loss after tax of £0.2m (H1 2025: loss of £7.5m).

Investment in the estate, technology and talent

The refurbishments of the Wildwood restaurants have continued. Nine restaurants have been refurbished by the end of Period, and this group of restaurants showed significant revenue growth following their reopening. The four early refurbishments that the Group last reported on in April 2026: Billericay; Ely; Epping; and Lincoln, delivered 18.6% like-for-like revenue growth in the first eight weeks over the summer months of July and August 2026.

In addition, the refurbishments of our Wantage and Telford restaurants have been completed since the half year end, and, as part of our plans to update the whole estate by spring 2027, a further 3 more restaurants are due to complete their re-modelling and will re-open within the next few weeks.

Since the beginning of the current financial year, the Group has been actively investing in its technology platform. A programme of infrastructure upgrades in each restaurant has commenced alongside restaurant refurbishments, providing staff and customers with better access to services. We expect to finish this programme by Christmas 2026. A new dashboarding system for its operations team has also commenced roll out while a new Epos system is due to go on trial in October 2026.

As part of the strategy introduced last year, the Group has also been investing in its team through the introduction of incentive plans, wider training, updated career paths and in July the recruitment of an experienced Head of Human Resources.

Current trading

Since the end of June 2026, restaurants and their customers have continued to be impacted by the ongoing political and economic uncertainty in the UK; a new prime minister was appointed in the summer, the costs of labour and supplies have continued to increase, and the impact of war in the Middle East continues. These, together with other factors, are impacting consumer confidence adversely.

The Group has closed and is in the process of surrendering the lease on 1 more underperforming site since the end of June 2026 which leaves us with a current estate of 28 restaurants, comprising 25 Wildwood and 3 dim t locations.

Group revenue for the first eight weeks of the second half of the financial year has continued to increase on a like-for-like basis of over 8.5%.

The summer holiday season was busy for the Group and many restaurants achieved record turnover figures. Lincoln, Plymouth, Llandudno and Rushden Lakes all stood out and the teams at those restaurants have done particularly well.

The World Cup, as it was mainly shown in the UK late in the evening, had a marginal negative effect on our trade. Table service restaurants do not typically perform well during sporting or other national televised events; however, this tournament was not typical due to its timings.

We passed the VAT reduction for children onto our customers by creating special menus. This was popular with families and also teenagers as we created a Ragazzi menu for them.

A recent third-party review indicated that the Wildwood dine-in revenue is now outperforming a selection of its peer group within the restaurant industry, a reflection of the new refurbishments being undertaken.

A new menu style for our three dim t restaurants was recently introduced post the half year end and the refurbishment of some dim t sites will commence in this second half.

The Group’s net cash (before property lease liabilities) was £7.5m as at 13 September 2026.

Outlook

The Group will continue to monitor the changes in consumer behaviour this autumn, including the staycation footfall and emerging custom of shorter but more frequent holiday breaks.

The Group has positive revenue growth and improving morale within the business. We are also beginning to benefit from the wide range of operational improvements and the site-by-site investment in the fabric of the business.

Restaurants are being refurbished, bar areas and outside terraces are being smartened up, and street signage refreshed.

These measures should ensure that Wildwood and dim t are well positioned and ready to face the many challenges being presented to our sector, including the impact of volatile energy markets.

The Group continues its discussions with several acquisition opportunities and looks forward to enhancing the Group’s growth prospects with completion of one or more of these in due course.

We remain confident that our restaurants will continue to grow sales due to our various ongoing initiatives.

Enhanced till systems and subsequent better analysis of sales, capital being invested in the fabric of the restaurants and newly motivated staff who are enthused to be part of a business which is increasing sales once again all position the Group to continue growing revenue.

David Page

Executive Chairman

Bow Street Group plc

15 September 2026

* Definition of Adjusted EBITDA can be found in note 3 to the unaudited interim financial information.

** Definition of highlighted items can be found in note 4 to the unaudited interim financial information.

Bow Street Group plc

Consolidated statement of comprehensive income
for the 26 weeks ended 28 June 2026 (unaudited)

		26 weeks   ended	26 weeks  ended	52 weeks  ended
		28 June	29 June	28 December
		2026	2025  restated	2025
	Notes	£'000	£'000	£'000
Revenue	3	14,363	15,110	31,338
Cost of sales		(10,250)	(10,675)	(22,044)
Gross profit		4,113	4,435	9,294
Other income		43	107	165
Operating expenses		(3,823)	(11,391)	(17,585)
Operating loss before highlighted items		(695)	(232)	(518)
Highlighted items	4	1,028	(6,617)	(7,608)
Operating profit/(loss)		333	(6,849)	(8,126)
Finance income		123	34	121
Finance expense		(627)	(675)	(1,330)
Loss before tax		(171)	(7,490)	(9,335)
Income tax	5	-	-	-
Loss and total comprehensive income for period		(171)	(7,490)	(9,335)
Loss per share attributable to the ordinary equity holders of the Company
Basic	6	(0.01)p	(3.79)p	(1.11)p
Diluted	6	(0.01)p	(3.79)p	(1.11)p

Bow Street Group plc

Consolidated statement of changes in equity
for the 26 weeks ended 28 June 2026 (unaudited)

	Share	Share	Merger	Retained	Total
	Capital	Premium	Reserve	Deficit	Equity
	£'000	£'000	£'000	£'000	£'000
Balance as at 29 December 2024	6,112	24,953	992	(31,745)	312
Total comprehensive income for the period	-	-	-	(7,490)	(7,490)
Share based payments	-	-	-	(113)	(113)
Balance as at 29 June 2025	6,112	24,953	992	(39,348)	(7,291)
Issue of ordinary shares	2,069	8,248	-	-	10,317
Cost of placing of ordinary shares	-	(574)	-	-	(574)
Total comprehensive income for the period	-	-	-	(1,845)	(1,845)
Share based payments	-	-	-	(12)	(12)
Balance as at 28 December 2025	8,181	32,627	992	(41,205)	595
Total comprehensive income for the period	-	-	-	(171)	(171)
Share based payments	-	-	-	87	87
Balance as at 28 June 2026	8,181	32,627	992	(41,289)	511

Bow Street Group plc

Consolidated balance sheet
As at 28 June 2026 (unaudited)

		As at	As at	As at
		28 June	29 June	28 December
		2026	2025	2025
	Notes	£'000	£'000	£'000
Non-current assets
Intangible assets		32	27	27
Property, plant and equipment	7	7,486	8,026	7,173
Right-of-use assets	7	13,528	14,918	14,196
Other non-current assets		15	15	15
Total non-current assets		21,061	22,986	21,411
Current assets
Inventories		1,128	1,248	1,206
Trade and other receivables		1,790	2,174	1,143
Cash and cash equivalents		7,895	2,431	11,055
Total current assets		10,813	5,853	13,404
Assets held for sale		-	-	12
Total assets		31,874	28,839	34,827
Current liabilities
Trade and other payables		(6,201)	(7,878)	(6,968)
Lease liabilities	8	(1,826)	(1,503)	(1,626)
Total current liabilities		(8,027)	(9,381)	(8,594)
Non-current liabilities
Provisions		(262)	(342)	(292)
Lease liabilities	8	(23,059)	(26,400)	(25,331)
Other payables		(15)	(7)	(15)
Total non-current liabilities		(23,336)	(26,749)	(25,638)
Total liabilities		(31,363)	(36,130)	(34,232)
Total net assets/(liabilities)		511	(7,291)	595
Equity
Share capital		8,181	6,112	8,181
Share premium		32,627	24,953	32,627
Merger reserve		992	992	992
Retained deficit		(41,289)	(39,348)	(41,205)
Total equity		511	(7,291)	595

Bow Street Group plc

Consolidated cash flow statement
for the 26 weeks ended 28 June 2026 (unaudited)

		26 weeks  ended	26 weeks  ended	52 weeks  ended
		28 June	29 June	28 December
		2026	2025	2025
	Notes	£'000	£'000	£'000
Operating activities
Net cash (outflow)/inflow from operating activities	9	(1,027)	709	1,527
Investing activities
Proceeds from sale of property, plant and equipment		226	123	119
Purchase of intangible assets		(7)	-	(2)
Purchase of property, plant and equipment		(879)	(57)	(334)
Interest received		123	34	121
Net cash (outflow)/inflow from investing activities		(537)	100	(96)
Net cash (outflow)/inflow before financing activities		(1,564)	809	1,431
Financing activities
Net proceeds from issues of ordinary shares		-	-	9,743
Finance expense (IFRS16)		(627)	(675)	(1,330)
Principal paid on lease liabilities		(969)	(1,004)	(2,090)
Net cash used in financing activities		(1,596)	(1,679)	6,323
Net (decrease)/increase in cash and cash equivalents		(3,160)	(870)	7,754
Cash and cash equivalents brought forward		11,055	3,301	3,301
Cash and cash equivalents at end of the period		7,895	2,431	11,055

Bow Street Group plc

Notes to the unaudited interim financial information
for the 26 weeks ended 28 June 2026 (unaudited)

1.          General information

Bow Street Group plc is a public limited company incorporated in the United Kingdom under the Companies Act (registration number 05826464). The Company is domiciled in the United Kingdom and its registered address is 32 Charlotte Street, London, W1T 2NQ. The Company’s ordinary shares are traded on AIM, a market operated by the London Stock Exchange (“AIM”). Copies of this Interim Statement may be obtained from the above address or on the investor relations section of the Company’s website at www.bowstreetgroup.com.

2.          Basis of accounting

The unaudited interim financial information for the 26 weeks ended 28 June 2026 has been prepared under accounting policies consistent with International Financial Reporting Standards (IFRS) and International Financial Reporting Interpretations Committee (IFRIC) interpretations as endorsed by the United Kingdom. The same accounting policies, presentation and methods of computation have been followed in the preparation of these results as were applied in the Company’s latest annual audited financial statements.

The financial information for the 26 weeks ended 28 June 2026 and 29 June 2025 have not been subject to an audit nor a review in accordance with International Standard on Review Engagements 2410, Review of Interim Financial Information Performed by the Independent Auditor of the Entity, issued by the Financial Reporting Council.

The financial information for the period ended 28 December 2025 does not constitute the full statutory accounts for that period. The Annual Report and Financial Statements for the year ended 28 December 2025 have been filed with the Registrar of Companies. The Independent Auditors’ Report on the Annual Report and Financial Statements for the year ended 28 December 2025 was unqualified, did not draw attention to any matters by way of emphasis, and did not contain a statement under 498(2) or 498(3) of the Companies Act 2006.

The Group has changed its allocation of expenses between Cost of Sales and Operating Expenses for the year ended 28 December 2025. This has necessitated a corresponding restatement of 26 weeks period ended 29 June 2025 comparatives in the Consolidated Statement of Comprehensive Income, with no net impact on reported profit for the prior year.

The unaudited interim financial information is presented in Pounds Sterling, being the currency of the primary economic environment in which the Group operates, and all values are rounded to the nearest thousand pounds (£’000) except when otherwise indicated.

Changes in accounting policies and disclosures

There were no changes in accounting policies and disclosures during the period.

Use of judgements and estimates

In preparing this unaudited interim financial information, management has made judgements and estimates that affect the application of accounting policies and measurement of assets and liabilities, income and expense provisions. Actual results may differ from these estimates.  

Going concern

The Directors have a reasonable expectation that the Group has adequate resources to continue in operational existence for the foreseeable future. In reaching this conclusion the Directors have considered the risks affecting the Group as detailed in the Annual Report and Financial Statements for the year ended 28 December 2025, the financial position of the Group including the significant cash balance held, forecasts, other longer-term plans and the availability of further equity funding and putting in place a moderate level of long term bank facilities. The Group monitors cash balances and the impact of inflation closely to ensure there is sufficient liquidity. Accordingly, the Directors believe that it remains appropriate to prepare the financial statements on a going concern basis.

3.          Revenue, other income and segmental analysis

The Group’s activities, comprehensive income, assets and liabilities are wholly attributable to one operating segment (operating restaurants) and arise solely in the one geographical segment (United Kingdom) that the Group is located and operates in. All the Group’s revenue is recognised at a point in time being when control of the goods has transferred to the customer.

An analysis of the Group’s total revenue is as follows:

	26 weeks  ended	26 weeks  ended	52 weeks  ended
	28 June	29 June	28 December
	2026	2025	2025
	£'000	£'000	£'000
Sale of goods and services: dine-in	12,964	13,481	28,089
Sale of goods and services: delivery and takeaway	1,399	1,629	3,249
	14,363	15,110	31,338

An analysis of the Group’s other income is as follows:

	26 weeks  ended	26 weeks   ended	52 weeks  ended
	28 June	29 June	28 December
	2026	2025	2025
	£'000	£'000	£'000
Rental income	13	14	54
Other	30	93	111
	43	107	165

​ Adjusted EBITDA and Adjusted Headline EBITDA are key measures for the Group as well as industry analysts as they are indicative of ongoing EBITDA generation of the businesses. Adjusted EBITDA is defined as EBITDA before share based payments and pre-opening costs, where EBITDA is defined as operating profit before depreciation and amortisation, amortisation of brand, impairment of property, plant and equipment, impairment of goodwill and intangible assets, impairment and changes in fair value of investments, COVID19 related costs, restructuring costs, costs of reverse acquisition, cost of acquisition and loss on disposal of property, plant and equipment. Adjusted Headline EBITDA is defined as Adjusted EBITDA less rent expense calculated on an accrual basis which excludes the effect of IFRS16.

	26 weeks  ended	26 weeks  ended	52 weeks  ended
	28 June	29 June	28 December
	2026	2025  restated	2025
	£'000	£'000	£'000
Operating loss before highlighted items	(695)	(232)	(518)
Depreciation of PP&E and amortisation	539	485	951
Depreciation of right-of-use assets	657	930	1,634
Adjusted EBITDA	501	1,183	2,067
Adjustment for rent expenses	(1,740)	(1,709)	(3,455)
Adjusted Headline EBITDA (pre IFRS16)	(1,239)	(526)	(1,388)

4.          Highlighted items – charged to operating expenses

	26 weeks  ended	26 weeks  ended	52 weeks  ended
	28 June	29 June	28 December
	2026	2025  restated	2025
	£'000	£'000	£'000
Profit/(loss) on disposal of property, plant and equipment	222	(21)	(424)
Restructure and consultancy	(122)	368	133
Impairment of right-of-use assets	-	(4,865)	(4,969)
Impairment charge of property, plant and equipment	-	(2,178)	(2,395)
Share based payments	(87)	113	125
Pre-opening costs	(77)	(34)	(39)
Gain/(loss) on lease modifications/disposal	1,092	-	(39)
Total highlighted items	1,028	(6,617)	(7,608)

The above items have been highlighted to give more detail on items that are included in the consolidated statement of comprehensive income and which when adjusted shows a profit or loss that reflects the ongoing trade of the business. 

5.          Income tax

The income tax charge has been calculated by reference to the estimated effective corporation tax and deferred tax rates of 25% (2025: 25%).

Tax charge £nil (2025: £nil). The tax charge for the period is lower than the standard rate of (2025: lower than) corporation tax in the UK due to movement in deferred tax not recognised.

6.          Earnings per share

	26 weeks  ended	26 weeks  ended	52 weeks  ended
	28 June  2026	29 June  2025	28 December  2025
	£‘000	£‘000	£‘000
Loss for the purposes of basic and diluted earnings per share	(171)	(7,490)	(9,335)
	28 June  2026	29 June  2025	28 December  2025
	Number  ‘000	Number  ‘000	Number   ‘000
Weighted average number of shares for the calculation of basic earnings per share	2,261,272	197,685	843,973
Effect of dilutive potential ordinary shares:
-Ordinary B shares	-	-	-
-Share Options	-	-	-
Weighted average number of shares for the calculation of diluted earnings per share	2,261,272	197,685	843,973
	26 weeks  ended	26 weeks  ended	52 weeks  ended
	28 June	29 June	28 December
	2026	2025	2025
	Pence	Pence	Pence
Basic loss per ordinary share	(0.01)p	(3.79)p	(1.11)p
Diluted loss per ordinary share	(0.01)p	(3.79)p	(1.11)p

The basic and diluted loss per share figures are calculated by dividing the net loss for the period attributable to shareholders by the weighted average number of ordinary shares in issue during the period. The diluted earnings per share figure allows for the dilutive effect of the conversion into ordinary shares of the weighted average number of options outstanding during the period. Options are only taken into account when their effect is to reduce basic earnings per share.

7.          Property, plant and equipment and right-of-use assets

	Leasehold  improvements	Furniture  fixtures and  computer  equipment	Total  property,   plant and  equipment	Right of Use  assets	Total
	£'000	£'000	£'000	£'000	£'000
Cost
As at 29 December 2024	25,439	8,411	33,850	38,630	72,480
Additions	67	267	334	-	334
Lease modification	-	-	-	90	90
Disposals	(2,674)	(1,000)	(3,674)	(2,707)	(6,381)
Reclassified as held for sale	(919)	(396)	(1,315)	(1,761)	(3,076)
As at 28 December 2025	21,913	7,282	29,195	34,252	63,447
Additions	371	508	879	-	879
Disposals	(1,464)	(657)	(2,121)	(1,329)	(3,450)
As at 28 June 2026	20,820	7,133	27,953	32,923	60,876
Accumulated depreciation
At 29 December 2024	16,264	6,943	23,207	17,915	41,122
Provided for the period	578	370	948	1,634	2,582
Impairments	2,208	187	2,395	4,969	7,364
Disposals	(2,289)	(930)	(3,219)	(2,707)	(5,926)
Reclassified as held for sale	(919)	(390)	(1,309)	(1,755)	(3,064)
As at 28 December 2025	15,842	6,180	22,022	20,056	42,078
Provided for the period	372	165	537	657	1,194
Disposals	(1,464)	(628)	(2,092)	(1,318)	(3,410)
As at 28 June 2026	14,750	5,717	20,467	19,395	39,862
Net book value
As at 28 June 2026	6,070	1,416	7,486	13,528	21,014
As at 28 December 2025	6,071	1,102	7,173	14,196	21,369

During the 26 weeks ended 28 June 2026, the Group recognised an impairment charge of £nil (2025: £7.4m) made up of impairment of right-of-use assets of £nil (2025: £5.0m) and impairment of property, plant and equipment of £nil (2025: £2.4m). The impairment movement last year was due to the reassessment by each individual cash generating unit following a change in performance and/or change in assets. The impairment calculation is sensitive to changes in the assumptions and estimates used in the underlying forecasts of future performance and cash flows.

8.          Lease liabilities

		As at	As at	As at
		28 June	29 June	28 December
		2026	2025	2025
		£'000	£'000	£'000
Current
Lease liabilities		1,826	1,503	1,626
Non-current
Lease liabilities		23,059	26,400	25,331
Total		24,885	27,903	26,957
Due within one year		1,826	1,503	1,626
Due two to five years		8,684	11,279	8,790
Due over five years		14,375	15,121	16,541
Total		24,885	27,903	26,957

Lease liabilities are measured at the present value of the remaining lease payments, discounted using the Group’s incremental borrowing rate of 4.5% and the Bank of England base rate at the time of any lease modification or a new lease.  The average rate used for modification in 2026 was 4.95% (2025: 4.97%).

The right-of-use assets all relate to property leases. The right-of-use assets as at 28 June 2026 were £13.5m (2025: £14.9m). During the period ended 28 June 2026 the Group made a provision for impairment of the right-of-use assets against a number of sites totalling £nil (2025: £4.8m).

Included in profit and loss for the period is £0.7m (2025: £0.9m) depreciation of right-of-use assets and £0.6m (2025: £0.7m) financial expenses on lease liabilities.

9.          Reconciliation of result before tax to net cash generated from operating activities

	26 weeks  ended	26 weeks  ended	52 weeks  ended
	28 June	29 June	28 December
	2026	2025	2025
	£'000	£'000	£'000
Loss before tax	(171)	(7,490)	(9,335)
Finance income	(123)	(34)	(121)
Finance expense (IFRS 16)	627	675	1,330
Share based payment charge	87	(113)	(125)
Depreciation of right-of-use assets (IFRS 16)	657	930	1,634
Depreciation of property, plant and equipment	537	483	948
Amortisation of intangible assets	2	2	3
Impairment charge of property, plant and equipment	-	2,178	2,395
Impairment of right-of-use assets	-	4,865	4,969
Loss from sale of property, plant and equipment	(186)	21	455
Dilapidations provision utilisation	(30)	-	(50)
Disposal of lease liabilities (IFRS 16)	(1,092)	-	37
Other non-cash items	-	(15)	8
Decrease in inventories	79	44	87
(Increase)/decrease in trade and other receivables	(647)	1,329	2,360
Decrease in trade and other payables	(767)	(2,166)	(3,068)
Net cash (outflow)/inflow from operating activities	(1,027)	709	1,527

10.      Changes in net debt from financing activity

	Cash and  cash  equivalents	Short term  borrowings	Total  before  lease  liabilities	Lease  liabilities  due  within  1 year	Lease  liabilities  due  after  1 year	Total
	£'000	£'000	£'000	£'000	£'000	£'000
Net debt as at 29 December 2024	3,301	-	3,301	(1,407)	(27,500)	(25,606)
Cashflow	(870)	-	(870)	1,004	-	134
Addition/(decrease) to lease liability	-	-	-	(1,100)	1,100	-
Net debt as at 29 June 2025	2,431	-	2,431	(1,503)	(26,400)	(25,472)
Cashflow	8,624	-	8,624	1,086	-	9,710
Addition/(decrease) to lease liability	-	-	-	(1,209)	1,069	(140)
Net debt as at 28 December 2025	11,055	-	11,055	(1,626)	(25,331)	(15,902)
Cashflow	(3,160)	-	(3,160)	968	-	(2,192)
Addition/(decrease) to lease liability	-	-	-	(1,168)	2,272	1,104
Net debt as at 28 June 2026	7,895	-	7,895	(1,826)	(23,059)	(16,990)

 

END