Roadchef returns to profitability

Roadchef has returned to profitability for the year ended 31 December 2023 after seeing its revenues jump 16.9% to £256m.

It comes as the group reported profits before tax of £13.4m for the period, up from a previous loss of £6.6m.

The group’s net assets also rose during the year from £16m in January to £23.1m by December 2023.

Meanwhile, the group ended 2023 with an EBITDA of £44.6m which was 10.7% higher than the previous year.  

This comes as the group welcomed over 49 million visitors to its motorway service areas during 2023 – in addition to the 2.5 million customers served through its drive through offerings.

Roadchef’s directors expressed satisfaction with the year-end results, which were partly impacted by “significantly” higher utility costs, as a result of increases in wholesale energy prices. 

Management also believed that the “consistency and quality” offered by well-known high street brands drove sales growth for the group, and as such, completed refurbishments of existing Costa Coffee and WH Smiths outlets during the period. 

At the same time, Roadchef enhanced the diversity and convenience of its catering offerings with the opening of two McDonald’s drive thru units, as well as a further Leon unit. 

During 2023, the group also invested in EV charging infrastructure with a multi-million-pound rollout of high powered fast chargers across the estate. It officially opened nine charging hubs and 60 chargers during the year. 

The group opted to outsource EV charging to a third party operator, in return for a rental and profit share.  

Roadchef also shared plans to open several more charging hubs in the year ahead, and anticipates that the group will have at least 300 EV chargers by the end of 2026, with a forecast expectation of over 1,000 chargers by 2030. 

This fits into the government’s net zero initiative, which will see the ban on the sale of new petrol and diesel cars from 2035.