Pho continues expansion amid sales growth
Like-for-like (LFL) sales were up 11.9% vs the prior year, with earnings before interest, taxes, depreciation and amortisation (EBITDA) of £5.8m, down from £8.1m the prior year.
Turnover rose 33.6% from £43.7m the prior year, with profit before tax of £1.8m, down from £5.6m the year before.
The 37-strong Vietnamese restaurant group says it 'performed well in the period with continued expansion despite economic headwinds.
Recent performance has buoyed directors’ confidence in the recovery of the market, with new restaurants in Cheltenham, Plymouth, York, Bournemouth, Canary Wharf, London Bridge, and Milton Keynes.
The directors decided not to renew the lease for Pho’s first site in Clerkenwell, London, while the dark kitchen business has been rationalised from five to four sites to optimise the profitability of remaining units by reducing cannibalisation.
Post year end, the company secured additional funding, allowing for continued expansion through the next several years and has an 'extensive pipeline' of new opportunities being progressed.
It has also seen an increase in LFL sales post year end.
“The directors feel the core proposition of fresh, healthy food and value for money will position the company to remain resilient in terms of sales growth,” the report says.
