New World Trading Company 'well placed' for the future following restructuring

New World Trading Company (NWTC) is well placed to “trade profitably and build on the strong reputation of the Botanist brand” following last year’s restructuring, directors have said.

The business pursued a company voluntary arrangement (CVA) in October 2024 after cost challenges drove it to an £11.7m loss in the 12 months to 31 March 2024.

In its financial results for the year, the bar group listed challenges such as high food inflation, reducing levels of business rate support, high energy prices, interest levels including high mortgage interest rates as well as exceptional costs.

Despite losses growing from £7.8m the previous year NWTC had seen revenues increase by 2.1% to £73.5m, and earnings before interest, taxes, depreciation, and amortisation grow from £2m to £2.4m.

Directors have said the business continued to achieve strong sales growth through both the summer and Christmas trading periods in 2024, with like-for-like revenue up 5.5% in the five weeks to 31 December 2024.

The directors had pursued a CVA to renew the business’ focus on its Botanist brand and exit non-core sites.

Within its financial results they said: “The directors believe that following the CVA the company is well placed to continue to trade profitably and build on the strong reputation of the Botanist brand.”

The year to 31 March 2024 saw the group open three sites in Edinburgh, Sunderland and Chester. It also disposed of sites in Farnham and Plymouth, with others in Liverpool, Knutsford, Alderley Edge, Sheffield and Chester following since the end of the accounting period.