Tasty reveals plans to open five to six new sites this year

Tasty, the owner and operator of casual dining brands Dim T and Wildwood, has announced plans to open five to six new sites this year and a refocus on takeaway and delivery which, due to employee shortages, has become secondary to dine-in trade.

In the group’s trading update for the 52 weeks to 26 December 2021, it reported revenue of £34.9m, an increase of 44% year-on-year, despite weaker trading during December than anticipated due to Omicron. Revenue recovered to 78% of 2019 revenues despite fewer operating sites.

Adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) was expected to be approximately £8m, an increase on £2.7m in 2020, while cash at the end of the year was £11m.

Tasty had 50 venues open, with four restaurants still closed but planned to reopen. Negotiations were ongoing to dispose of or re-gear two or three of the restaurant leases.

Since reopening for dine-in in May 2021, the group was EBITDA positive and cash generative for the remainder of 2021. However, the group warned of challenges such as the end of government support on VAT and business rates.

It also expected a reduction in pent-up demand, disposable income and staycations as well as a steep rise in wage, utility and supplier cost inflation as the UK adjusts to Brexit, the aftermath of the pandemic and the war in Ukraine.

In addition, Tasty said it had undergone a recruitment drive to strengthen its head office team.