LSE:RBG

Stock Analysis Report

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Executive Summary

Revolution Bars Group plc operates premium bars located in towns or city high streets across the United Kingdom.


Snowflake Analysis

Slightly overvalued with worrying balance sheet.

Share Price & News

How has Revolution Bars Group's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: RBG's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

26.7%

RBG

1.1%

GB Hospitality

2.2%

GB Market


1 Year Return

-51.1%

RBG

-26.9%

GB Hospitality

-10.0%

GB Market

Return vs Industry: RBG underperformed the UK Hospitality industry which returned -29% over the past year.

Return vs Market: RBG underperformed the UK Market which returned -11.7% over the past year.


Shareholder returns

RBGIndustryMarket
7 Day26.7%1.1%2.2%
30 Day72.6%4.6%9.6%
90 Day-38.8%-16.0%-2.6%
1 Year-51.1%-51.1%-24.4%-26.9%-5.7%-10.0%
3 Year-70.3%-72.0%-17.7%-26.7%-1.8%-13.8%
5 Year-81.6%-83.4%2.4%-15.9%15.5%-10.2%

Price Volatility Vs. Market

How volatile is Revolution Bars Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Revolution Bars Group undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: RBG (£0.34) is trading below our estimate of fair value (£6.26)

Significantly Below Fair Value: RBG is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: RBG is unprofitable, so we can't compare its PE Ratio to the Hospitality industry average.

PE vs Market: RBG is unprofitable, so we can't compare its PE Ratio to the UK market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate RBG's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: RBG has negative assets, so we can't compare its PB Ratio to the GB Hospitality industry average.


Next Steps

Future Growth

How is Revolution Bars Group forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

2.0%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if RBG's forecast earnings growth is above the savings rate (1.2%).

Earnings vs Market: Insufficient data to determine if RBG's earnings are forecast to grow faster than the UK market

High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: RBG's revenue (2% per year) is forecast to grow slower than the UK market (3.7% per year).

High Growth Revenue: RBG's revenue (2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if RBG's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Revolution Bars Group performed over the past 5 years?

-58.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: RBG is currently unprofitable.

Growing Profit Margin: RBG is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: RBG is unprofitable, and losses have increased over the past 5 years at a rate of -58% per year.

Accelerating Growth: Unable to compare RBG's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: RBG is unprofitable, making it difficult to compare its past year earnings growth to the Hospitality industry (-10.9%).


Return on Equity

High ROE: RBG's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.


Next Steps

Financial Health

How is Revolution Bars Group's financial position?


Financial Position Analysis

Short Term Liabilities: RBG has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: RBG has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.


Debt to Equity History and Analysis

Debt Level: RBG has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: RBG's has negative shareholder equity, so we do not need to check if its debt has reduced over time.

Debt Coverage: RBG's debt is well covered by operating cash flow (167%).

Interest Coverage: RBG is unprofitable, therefore interest payments are not well covered by earnings.


Balance Sheet


Next Steps

Dividend

What is Revolution Bars Group's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate RBG's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate RBG's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if RBG's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if RBG's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: RBG is not paying a notable dividend for the UK market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of RBG's dividend in 3 years as they are not forecast to pay a notable one for the UK market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.0yrs

Average management tenure


CEO

Rob Pitcher (45yo)

2yrs

Tenure

UK£410,000

Compensation

Mr. Rob Pitcher has been Chief Executive Officer and Director of Revolution Bars Group plc since June 25, 2018. He served as Divisional Director at Mitchells & Butlers plc since March 2016. Mr. Pitcher has ...


CEO Compensation Analysis

Compensation vs Market: Rob's total compensation ($USD513.93K) is above average for companies of similar size in the UK market ($USD339.71K).

Compensation vs Earnings: Rob's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Rob Pitcher
CEO & Director2yrsUK£410.00k0.30% £50.5k
Michael Foster
CFO, Company Secretary & Executive Director3yrsUK£219.00kno data
Beth Anderson
Head of People1.42yrsno datano data

2.0yrs

Average Tenure

Experienced Management: RBG's management team is considered experienced (2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Rob Pitcher
CEO & Director2yrsUK£410.00k0.30% £50.5k
Michael Foster
CFO, Company Secretary & Executive Director3yrsUK£219.00kno data
Keith Edelman
Non-Executive Chairman5.33yrsUK£90.00k0.091% £15.3k
Jemima Bird
Senior Independent Non-Executive Director1.58yrsUK£33.00k0.040% £6.8k
William Tuffy
Independent Non-Executive Director1.58yrsUK£20.00k0.020% £3.4k

2.0yrs

Average Tenure

56yo

Average Age

Experienced Board: RBG's board of directors are not considered experienced ( 2 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Revolution Bars Group plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Revolution Bars Group plc
  • Ticker: RBG
  • Exchange: LSE
  • Founded: 1991
  • Industry: Restaurants
  • Sector: Consumer Services
  • Market Cap: UK£16.835m
  • Shares outstanding: 50.03m
  • Website: https://www.revolutionbarsgroup.com

Number of Employees


Location

  • Revolution Bars Group plc
  • 21 Old Street
  • Ashton-Under-Lyne
  • Greater Manchester
  • OL6 6LA
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
RBGLSE (London Stock Exchange)YesOrdinary SharesGBGBPMar 2015
RBGlBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBGBPMar 2015

Biography

Revolution Bars Group plc operates premium bars located in towns or city high streets across the United Kingdom. Its bars offer food and drinks. The company operates 76 bars, including 59 bars under the Revolution and 17 under the Revolución de Cuba brand names. Revolution Bars Group plc was founded in 1991 and is headquartered in Ashton-Under-Lyne, the United Kingdom. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/06/03 00:05
End of Day Share Price2020/06/02 00:00
Earnings2019/12/28
Annual Earnings2019/06/29


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.