LONDON (Alliance News) - Restaurant owner Tasty PLC on Friday said its profit declined in the first half of its recently ended financial year, affected by unfavourable weather conditions and the World Cup.
The stock was down 17% on Friday at 14.15 pence per share.
Pretax loss widened to GBP11.6 million in the six months to July 1 compared to GBP9.3 million loss reported for the same period in 2017, as revenue slipped to GBP23.0 million from GBP24.4 million.
During the period, the company said it recognised an impairment charge of GBP11.2 million and an onerous lease provision of GBP1.7 million.
Performance in the first-half was affected by unfavourable weather conditions and the World Cup, the company said, leading to the restaurant closures. Tasty is currently trading from 60 restaurants, it said.
In February, Tasty said it implemented major operational structural changes and is beginning to see early signs of improvements, which it expects to continue in the second half of the year.
The company said it continued to innovate and review its food menu, including vegan and gluten free menu development and improvement.
Tasty also said it has restructured the operational team to improve efficiency and reduce costs, which resulted in cost savings of GBP300,000 per annum.
"Market conditions remain difficult, but we are starting to see the benefits of the infrastructure changes that have been, and continue to be, implemented," said Chairman Keith Lassman.
"Our focus will continue to be growing sales and maximising value," added Lassman.
Tasty (TAST)