The Group, which operates more than 440 restaurants across the country, saw a 3 per cent rise in pre-tax profits to £72.7m for the year to 29 December 2013, with like-for-likes up 3.5 per cent, revenues up by 9 per cent to £580m and EBITDA increasing by 13 per cent to £107.8m. (Scroll down for individual brand breakdown).
Chief executive Andrew Page, who recently announced his decision to retire later this year, said: “These results are a reflection of the hard work and efforts of the TRG team and I would like to record my thanks to them for producing another outstanding performance.
“With the UK economy showing improvement, employment levels rising and inflation falling there are good prospects for an improvement in household finances. This bodes well for our sector and all of our team will be working determinedly to deliver another year of profitable progress.
“The Restaurant Group is in great shape and I am confident that it will continue to prosper.”
TRG created over 1,000 hospitality jobs last year with the opening of 35 new sites spread across all of its brands. Page added that the new sites ‘are trading well and are set to deliver excellent returns’.
The company, which employs more than 12,000 people across the UK, has also reported a strong start to 2014, with total sales up 10 per cent and like-for-like sales at 3.5 per cent for the eight weeks to 23 February 2014. Today’s financial statement says the Group has ‘a superb pipeline of new sites covering the period 2014 to 2016’, and that the search for a new chief executive to replace Page is now ‘well underway’.
Frankie & Benny’s (232 sites)
Frankie and Benny’s traded strongly in 2013 delivering significant increases in turnover, EBITDA and profit.
During the year, TRG opened 17 new restaurants of which six were on cinema sites. The Group anticipates opening between 18 and 22 new Frankie and Benny’s restaurants in 2014.
“The strength of the Frankie and Benny’s brand, its breadth of appeal, versatility and high level of customer recognition all contribute to a consistent track record of success,” said the company. “This gives us great confidence that there is significant future roll out potential for this brand.”
Coast to Coast (10 units)
TRG opened its first Coast to Coast restaurant in Brighton in November 2011. By the end of 2013, it had ten Coast to Coast restaurants - of which five were opened in 2013 and eight trade alongside either, or both, Frankie & Benny’s and Chiquito.
“These three brands complement each other well and we plan to continue to open further Coast to Coast restaurants alongside our other Leisure brands,” said the company. “We are planning to open between five and seven new Coast to Coast restaurants in 2014 and we have identified several dozen locations.”
Chiquito (73 units)
Chiquito performed well in 2013 with a solid increase in revenues and a significant increase in EBITDA, profit and margins.
The Group opened four new Chiquito restaurants during 2013 - all of which are trading superbly and are set to deliver strong returns in 2014.
The Restaurant Group expects to open between five and seven new units this year.
Garfunkel’s (16 units)
Garfunkel’s traded ‘superbly’ during 2013 and this has continued into 2014. Like-for-like sales growth was strong and this translated into significant increases in turnover, profit and margins.
“We are continuing to search for new site opportunities which will deliver our required returns,” said the Group.
Pub-restaurants (49 units)
TRG’s pub-restaurants business traded strongly throughout the year and delivered significant increases in turnover, profits and margins. Four new pub-restaurants were opened in 2013 – all of which are set to deliver strong returns this year – and a further four to six new venues are in the pipeline for this year.
The Group said: “Our Pub restaurant business has the potential to grow significantly over the medium-term and also to command a niche position as a high quality, nationwide Pub restaurant business.”
Concessions (60 units)
The Group’s Concessions business traded strongly in 2013, with a solid increase in turnover and significant increases in EBITDA, profits and margins.
Five new units were opened in 2013 and two to four are expected to open later this year.
“As passenger numbers start to increase, we are confident that this trend can continue,” said TRG.