REFILE-Restaurant Group says 'value for money' deals boost sales

Thu Jan 9, 2014 2:45am EST

Jan 9 (Reuters) - Restaurant Group Plc, known for its chains such as Frankie & Benny's and Chiquito, reported a 9 percent rise in full-year turnover, as its 'value for money' deals attracted more customers to its franchises.

The FTSE-250 company, which owns more than 400 pubs and restaurants at airports and retail outlets across the UK, also said it saw strong trading at its new sites, and looked to open 36 to 43 new sites in 2014.

Like-for-like sales were 3.5 percent ahead of 2012, the company said on Thursday.

Restaurant Group said full-year profit was ahead of the year earlier, but did not specify by how much.

The company also said that it expected economic conditions in 2014 to be similar to 2013.

Restaurant Group had reported a revenue of 533 million pounds ($877.8 million) for the 52 weeks ended Dec. 30, 2012.

For the latest full year, analysts on average were expecting revenue of 581.47 million pounds, according to Thomson Reuters I/B/E/S.

Rival Marston's Plc, which has been increasing its interest in food-focused outlets, said in November that it expected strong Christmas bookings to boost prospects.

However, other restaurant and pub owning companies Mitchells & Butlers and Greene King have cautioned that despite a pick-up in sales, customers remained careful with their money.

Restaurant Group shares closed at 595 pence on the London Stock Exchange on Wednesday.

Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.