MOD Pizza UK reports £6.9m losses in 2018

MOD Pizza UK has reported losses of £6.9m in 2018 – following losses of £11m the previous year.

The business said the losses reflected the costs of the support team, pre-opening, deprecation costs, marketing investment, and impairment charges on two original trial restaurants.

The nine-strong restaurant company is operated under a joint venture in the UK and backed by Carphone Warehouse founder Sir Charles Dunstone’s Freston Ventures.

In a strategic report, finance director Rob Murray wrote that average sales per restaurant had “increased significantly” since openings, with like for like revenue growth of 10% during the full year period.

Turnover increased to £5.36m, up from £3.68m in 2017.

MOD said it plans to open a further seven sites in 2019 – though these will focus on “quality rather than quantity”, so could be be lower, or higher.

City centre and leisure park sites outperforming the rest of the estate, with those sites to be the focus for expansion going forward.

Mod Pizza, a US founded build your own pizza brand, was launched in the UK in 2015

Freston Ventures also backs Five Guys and Chik’n, the quick service brand from Chick’n’Sours.