Nadauld departs GBK as losses narrow

Gourmet Burger Kitchen (GBK) managing director Derrian Nadauld has left his role to return to parent company Famous Brands in South Africa, MCA understands.

He will be replaced by Adolf Fourie, who was previously managing Famous Brands’ Steers in South Africa.

Nadauld told MCA: “I will remain on the GBK board and will be visiting regularly for continuity, and to ensure we keep up the positive momentum achieved post the CVA last year.”

The handover comes as Famous Brands releases interim financial results, which saw GBK reduce its losses from £2.4m in the previous period to £572,000, in the six months to 31 August 2019.

The UK business, which also includes Wimpy, saw turnover fall 12.5% to £37.4m due to the closure of 24 stores as part of the Company Voluntary Arrangement (CVA) process, seven of which were closed during the review period.

GBK was reported to have made “good progress”, benefiting from operational improvements and the CVA restructuring programme.

Like-for-like sales increased by 8.6% (2018: decrease of 9.7%), while dine-in sales declined in line with sector trends.

Online and delivery sales “grew strongly”, supported by promotional activity.

Three restaurants underwent full revamps, while 30 other sites received kerbside makeovers in the six months under review.

At the close of the reporting period, GBK’s footprint comprised 73 stores.

Famous Brands expects GBK to make a return to profitability by the end of the 2022 financial year.