The Café Industry in Lyngdal: Outlook, Companies, and Economic Data

The café industry in Lyngdal has shown both challenges and gradual growth following a significant decline during the pandemic. In 2026, two companies operate in the municipality, employing a total of 17 people and achieving combined sales of 2.0 million Norwegian kroner. The industry has been marked by large fluctuations, with a total sales decline of 69.9% from 2018 to 2019, followed by a gradual recovery since 2022. The current development indicates stabilization, with an increasing number of employees and improved sales margins. At the same time, data shows that the café industry constitutes a smaller portion of the broader restaurant and café sector in the municipality, which has 17 companies in total.

Sales and Employee Development

Sales:

• 2016: 4.0 million Norwegian kroner
• 2025: 2.0 million Norwegian kroner
• A decline of 59.9% from 2016 to 2025, with a gradual recovery since 2022.

Employees:

• 2016: 21 employees
• 2026: 15 employees
• A significant decline of 28.6% from 2016 to 2020, followed by a gradual recovery since 2022.

Economic Indicators

• EBITDA margin: 9% (2025)
• Sales growth: +5.9% from 2024 to 2025
• Average income per employee: 27,000 Norwegian kroner (2025)

Registered Companies

1. Nye Siam Cafe As (Torggata 9, Lyngdal)

• Founded: 2025
• Number of employees: 13
• Sales: 0 Norwegian kroner (2025)
• Organizational form: AS

1. Cafe Verftet As (Svenevigsveien 54, Lyngdal)

• Founded: 2021
• Number of employees: 4
• Sales: 2.1 million Norwegian kroner (2025)
• Organizational form: AS

Organizational Data

• AS (Number of companies: 2, Number of employees: 17)
• Average operating result per employee: 296,400 Norwegian kroner (2025)
• Average EBITDA per employee: 27,000 Norwegian kroner (2025)

Distribution of Activity

• Lyngdal (Number of companies: 2, Number of employees: 17)
• Sales: 2.1 million Norwegian kroner (2025)
• Operating income: 2.9 million Norwegian kroner (2025)
• Average income per employee: 296,400 Norwegian kroner

Geographic Focus

All registered cafes in the municipality are located in the central area, with particular activity around Torggata and Svenevigsveien. This indicates a concentration of cafes in central urban areas with high population density.

Bankruptcy Safety

• No registered bankruptcies in the café industry in Lyngdal from 2016 to 2025.
• Cafe Verftet As has a debt of 7.8 million Norwegian kroner, but remains operational with an EBITDA of 264,000 Norwegian kroner (2025).
• Nye Siam Cafe As has no operating income or debt, but is newly established (2025).

Industry Dynamics

• The greatest challenge has been the sharp decline in sales and employees during the pandemic (2020-2021), with a total decline of 100% in both sales and employees.
• Since 2022, the industry has shown gradual recovery, with a 57.1% increase in the number of employees from 2024 to 2025.

Development for Entrepreneurs

The café industry in Lyngdal shows signs of stabilization after a sharp decline during the pandemic. With a 5.9% increase in sales from 2024 to 2025 and a 36.4% increase in the number of employees from 2025 to 2026, this may be a good time for new entrants. However, it is important to note the high competition, with 17 companies in the broader restaurant and café sector. New entrepreneurs should consider unique differentiation factors, such as specialized cafes, cultural programs, or partnerships with local businesses to create a unique offering.

Comparison with the Broader Sector

The broader restaurant and café sector in Lyngdal has a total of 17 companies, while the café industry constitutes only 2 of these. The broader sector had total sales of 38.4 million Norwegian kroner in 2025, compared to 2.0 million Norwegian kroner for the café industry. This shows that cafes constitute a smaller portion of the total sector, but have a higher average EBITDA margin (9% for cafes vs. not specified for the rest of the sector).

Peer Analysis

The most interesting peer companies in the broader sector include:

• Lyngdølen As (Sales: 5.5 million Norwegian kroner, EBITDA: 769,000 Norwegian kroner)
• Sørlandsbadet As (Sales: 21.8 million Norwegian kroner, EBITDA: 763,000 Norwegian kroner)
• Lyngdal Inn A/s (Sales: 8.9 million Norwegian kroner, EBITDA: -14,000 Norwegian kroner)

These companies show that there are both successful and challenging businesses in the sector, which can provide valuable insights for new entrepreneurs.

The café industry in Lyngdal shows signs of gradual recovery after a sharp decline during the pandemic, with stabilization in both sales and the number of employees. For entrepreneurs, this may be a good time, but it is important to be aware of the high competition and the need for unique differentiation factors. SmartGrunder can help entrepreneurs find optimal locations and strategies to establish themselves in this industry in Lyngdal.