Tasty scales down openings for 2017 after loss in 2016
Casual dining group Tasty, which operates 63 restaurants under the Dim T and Wildwood brands, has scaled down its openings programme after losses last year.
The company made a pre-tax loss in 2016 after impairment charges against a number of its sites.
It saw revenues increase to £45.8m for the 53 weeks to 1 January 2017, up 28% on the 52 weeks to 27 December 2015.
It opened 13 Wildwood restaurants during the year: Abingdon, Braintree, Letchworth and Ilkley all opened in the first half of the year. Crawley, Cheam and Lincoln opened in the third quarter and Bournemouth, Llandudno, Worcester Park, Edinburgh, York and Northwich all opened in the fourth quarter.
It has opened another two restaurants since the year end, taking it to 63 sites (7 Dim T and 56 Wildwood).
During the year the business undertook a comprehensive review of its estate and recognised around £3.5m worth of impairment charges against a number of sites.
"Turnaround strategies have been implemented at these sites in an effort to bring performance of these restaurants in line with the rest of the estate. Overall, the Group traded in line with expectations," said chairman Keith Lassman in a statement.
As a result of the impairment charges, the company made a pre-tax loss of £88,000, which swelled to an £848,000 loss after income tax. In the previous year the company made a pre-tax profit of £3m.
The company said it expected the coming 12 months to remain "challenging" and that it had revised down its planned openings from 15 to 7 and predicted that headline operating profit would be below that achieved in 2016.
"The directors believe the group's core ‘Wildwood' brand remains attractive to customers and the group is taking positive action to address the expected financial performance and ensure growth in the future," it added.
Wildwood and Dim T owner makes £2.3m loss >>
Wildwood operator increases revenue and profit by 20% >>
Wildwood to open in Kingston-upon-Thames amid wider expansion >>
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