Giraffe, the casual dining chain backed by Risk Capital and 3i, has revealed plans to expand to 50 restaurants after unveiling what it described as a “record year” in the 12 months to March 2010.
The group, which is led by its managing director and founder Russel Joffe, said turnover had grown by £5m to £29m in the period - and that ebitda before exceptionals had also increased to £3m.
It is opening a new Giraffe restaurant in Victoria, and is also launching its first Scottish site in Aberdeen this September, after it admitted it had bank facilities available for “further expansion and acquisition”.
Ebitda at the eight sites it acquired from Tootsies at the start of 2010/2011 was “significantly ahead of our original forecasts”, it added.
Luke Johnson, Giraffe’s chairman, said “This is a very strong performance from the Giraffe management team, who executed the Tootsies acquisition efficiently despite its complexities, and without loss of focus on the core Giraffe restaurants.
“The bank facilities at our disposal will enable us to move quickly should any further similar opportunities come to the market in the next year.”
Paul Viner, its chief financial officer, added: “At 37 restaurants, the group is becoming a national business. Giraffe is cash generative, net debt is modest, and with a highly experienced management team, we will continue to grow in an ambitious but carefully managed way to our target of 50 branches.”
Joffe said: “These results show a resilient performance for the year to March 2010, in a challenging casual dining market.
“I am pleased to report a strong performance in the core estate. The acquisition of eight Tootsies and Dexters sites from Clapham House Group was an ambitious move, but the integration proceeded speedily and all sites were re-branded within five months of exchanging contracts on the deal with the administrator.”
