Gourmet Burger Kitchen operator Clapham House Group has reported a 50 per cent increase in profits, although it expects trading to remain ‘challenging’ for the rest of the year.
Announcing its preliminary results for the year ending 28 March 2010, the 73-site strong group saw pre-tax profits increase to £1.5m from the £1m earned in 2009.
Revenue increased 4.2 per cent to £44.5m as the year saw Clapham House open two new GBK restaurants in the UK and five international franchised sites.
David Page, executive chairman of Clapham House, said “Whilst we saw generally improving trading trends in April and May, the World Cup, as expected, had a negative impact on sales in June.
“For the remainder of the financial year we expect trading conditions in the UK to remain challenging. Following the placing of shares in May, we will press on with the selective expansion of GBK into high quality locations.”
GBK, which now operates 50 UK sites, has a further two currently in legals and one under construction.
Since placing the 21-strong restaurant chain Tootsies into administration, with Giraffe Concepts immediately acquiring 11 of the properties, Clapham House has now disposed of a further four sites, helping to reduce the group’s indebtedness to £10.1m.
The Real Greek
Clapham House has also reported that it’s The Real Greek brand has traded ‘satisfactorily’ over the past year, despite the disposal of the Putney site in June. The group plans to expand the six-site concept into high footfall tourist locations over the next few years, and is currently negotiating on one property to open in 2012.