Ego Group Ltd, the parent company of the Mediterranean-themed restaurant chain, reported a pre-tax profit of £202,040 for the 12 months to 31 March 2011, against a loss of £2.387m in the previous year, as it took steps to bring the business onto a firmer footing.
The eight-strong company, which saw turnover increase over the year from £7.623m to £7.871m, closed three loss-making sites during the 12 months - Leeds, Manchester and Prestwich, leading to an exceptional cost of £735,228.
The group, which is led by James Horler, also recapitalised c.£9m of debt during the year to leave it with net debt of around £130,000.
In accounts filed at Companies House, it said its overall performance was “in line with expectations given current market conditions” and that it was confident that the actions taken during the year “have improved the trading of the group significantly”.
The company was acquired twice during the period. Luke Johnson, the serial restaurant investor, acquired a majority stake in Ego Restaurants in September last year. The group was subsequently acquired by new vehicle 3Sixty Restaurants in March.
Ego was then merged with Rocket Restaurants, the pizza and salad restaurant operator, under 3Sixty Restaurants.
The new company comprises eight Ego restaurants in the Midlands and North of England and three Rocket restaurants, located all in Central London with sites in Mayfair, the City and Canary Wharf.