The Restaurant Group, owner of Frankie & Benny’s, Chiquito and Coast to Coast, said today gave a post-close update to the market in which it revealed that sales over the past year have grown 8%.
A big chunk of the growth was delivered by the 44 new restaurants it opened in 2015. On a like-for-like basis, sales crept up by just 1.5%.
TRG said it would show “material growth” in both earnings and cash flow versus the prior year when uts full-year results are announced in March.
Chief executive Danny Breithaupt said the new additions to its estate have made an instant impact. “We are very pleased with how these are trading and they are set to deliver strong returns. We have good visibility on the composition of the opening programme and we anticipate opening a broadly similar number of new restaurants during 2016.”
TRG said it had “become apparent” from recent retail and economic data that many consumer-facing businesses has been tougher in recent months than it was earlier in 2015.
“This has caused like-for-like sales growth to trend lower and accordingly we are more cautious than previously on the outlook for 2016,” admitted Breithaupt.
The Restaurant Group plc operates more than 500 restaurants and pub restaurants throughout the UK. Its principal trading brands are Frankie & Benny’s, Chiquito, Coast to Coast, a Pub restaurant business and a Concessions business, which trades principally in major UK airports.