(Alliance News) - Restaurant Group PLC on Tuesday reported that it was "encouraged" by the level of trade as indoor dining resumed across 95% of its locations following easing restrictions across the UK.
The London-based hospitality group, which includes brands Wagamama and Frankie & Benny's, relied on boosted takeaway sales until outdoor dining returned on April 12, providing moderate sales. The recent return of indoor dining has not produced substantial sales figures, but the group remained optimistic of a sustained recovery.
In the six weeks preceding April 11, the company relied on takeaway sales from around 200 sites open for trade. In response to the closure of restaurants and hospitality, takeaway sales tripled at its Wagamama locations and increased by five and a half times at leisure locations when compared to pre-Covid levels.
The resumption of outdoor dining in the UK from April 12 allowed the group to reopen 315 locations for outdoor diners, including around 130 Wagamama sites.
Limited outdoor facilities at its leisure sites led to sales at 60% of 2019 levels. Meanwhile, pubs and Wagamama restaurants recorded sales at around 85% of the equivalent sales in 2019. However, according to Restaurant Group, sales remained around 15% ahead of the wider market.
In the most recent stage of lockdown easing, Restaurant Group reports that indoor dining has resumed at 95% of its UK sites since May 17. Its Scottish sites experienced trade between 21% and 22% higher than 2019 levels in the three weeks following the resumption of indoor dining since April 26.
"While the environment for the remainder of the year continues to remain uncertain, the group is well positioned across its diversified brand portfolio to benefit from the sustained removal of government restrictions," the company said.
Restaurant Group has completed refinancing, including new debt facilities of GBP450 million and GBP200 million cash headroom to protect against future pandemic disruption and enable selective expansion of its Wagamama locations and pubs.
Restaurant Group shares were trading up 0.6% at 129.16 pence each in London on Tuesday.
By Scarlett Butler; scarlettbutler@alliancenews.com
Copyright 2021 Alliance News Limited. All Rights Reserved.