Prezzo continues to roll out more restaurants

published 5 September 2012

Restaurant group Prezzo saw solid growth in first-half revenues and profits as it continues to roll out its expansion programme.

Revenue for the 26 weeks to July 1st rose 14% from £59.6m to £68.1m. Meanwhile, adjusted pre-tax profits increased by 4% from £7.3m to £7.6m. The firm's principal trading brand is an Italian restaurant chain also named Prezzo.

Cashflow generated from operations improved from £11.1m to £13.5m.

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The company launched 12 new restaurants during the period, compared with seven in the first half last year. There were 193 units trading by the end of the first half, up from 168 last year.

These openings included a new "high profile" London Prezzo located within the newly-refurbished King Cross railway station. Meanwhile, Prezzo's smaller Mexican chain, Chimichanga, also had a busy opening programme and is now trading from 20 locations.

"By the end of 2012 we would anticipate having opened approximately 25 new restaurants and with the landmark of 200 restaurants fast approaching, we have been strengthening the Prezzo team and increasing investment in training, marketing and other support functions within the business," said Chairman Michael Carlton.

He said that 2012 has been "somewhat atypical" given the Royal Diamond Jubilee celebrations and Olympic Games In London: "greater peaks and troughs in trading have presented both opportunities and challenges for restaurant operators.

"The business has performed well over the summer months and while we have not seen any evidence of a sustained economic recovery, the Board remains confident of delivering further progress over the remainder of the year."