Various Eateries has reported a resilient performance in the year ended 1 October 2023, with revenue growth of 12% to £45.5m.
The growth was largely driven by new site openings, while like-for-like (lfl) sales held “relatively firm” despite industry challenges.
The Coppa Club operator took a “measured” approach to expansion during the period, with the opening of two new restaurants under its pasta concept Noci and one Coppa Club site.
Post period end, it plans to open up to 10 Noci sites and up to three Coppa Clubs in the next phase of growth.
In December 2023, the group successfuly converted debt into equity and raised £10.1m after launching a share placing, which will be used to support expansion plans.
Various Eateries further reported a total loss before tax of £6.7m and an adjusted EBITDA loss of £2.2m, with the board choosing to absorb the majority of price rises to strengthen the group’s longer-term prospects.
It has mitigated inflationary pressures through supply chain management and menu re-engineering, while reporting encouraging signs that inflation is now normalising.
The group also strengthened its senior management team with the appointment of Sharon Badelek as CFO, Rebecca Tooth as MD of Coppa Club, and Scott Williamson as people director.
Andy Bassadone, executive chairman of Various Eateries, said: “Performance in the year under review was solid given the host of challenges faced by the industry. We have continued to focus on customer loyalty, brand reputation and maintaining revenue, and I am proud of our teams for all their hard work.
“We enter the new financial year in a position of strength having raised £10.1m and converted debt into equity in December. The convergence of site availability, reduced competition and changing consumer behaviours has brought forth a generational opportunity akin to the casual dining revolution of the 90s and we are well set to capitalise.
“Inflationary pressures have been a major thorn in the side of all hospitality businesses in the period but encouragingly there are signs they are beginning to abate while interest rates appear to be cooling. We are not out of the woods yet by any means but we are confident our approach is the right one to ensure the long-term prosperity of the Group.
“We are excited about what we are building and look forward to the challenges and opportunities of the year ahead with confidence.”
