Nando’s Group, the operator of the eponymous fast-casual chicken restaurant chain, swung back into profit for the year to 26 February 2012 as turnover broke through the £400m mark, on the back of new openings and a full-year’s trading from Gourmet Burger Kitchen (GBK).
Pre-tax profit for the year stood at £14.7m against a loss of £7.1m the previous year, while turnover increased from £333.8m to £419.6m. Operating profit increased from £13.7m to £19.6m.
Group operating profit climbed from £19.6m to £41.8m, while it achieved gross operating margin of 30%, up from 27%, which it said was inline with management expectations.
The group, which is backed by Capricorn Ventures, saw its net debt decline by just over £15m during the year to £378.6m.
The company, which is led in the UK by Rob Papps, said it had made “significant and exciting progress” during a year in which its estate increased from 295 restaurants to 313, including 53 GBK units. It said its opening programme was progressing strongly. The group currently operates 271 sites under its eponymous brand and believes there is scope to reach 400 eventually in the UK.
It said that performance at restaurant level had been “good” against “extremely good” in 2010/11. The company said that “amidst uncertain market conditions” it had maintained a good performance after the year end, “meeting the directors’ expectations”.
At the end of 2010, the group acquired the remaining 70% of the Clapham House Group, the company behind GBK and The Real Greek chain, for £30.4m.
GBK, which is led by Alisdair Murdoch currently operates 54 sites and has secured a further five across the UK that are scheduled to open over the next six months.
Ex-Clapham House Group chairman David Page and a new consortium of around 15 investors acquired the six-strong The Real Greek from Nando’s in June last year.
