Conran bullish as profits fall

Pre-tax profits were down by 8% at Conran Restaurants in the year to 31 March 2000, but the group says it has experienced a strong recovery in the first financial quarter of this year.

The privately-owned group's figures were hit by costs of the new openings of the Great Eastern Hotel in London and Guastavino's restaurant in New York.

Turnover for the group was unchanged at £55.2m, but this included £1.5m from New York and the Great Eastern, so like-for-like turnover was also down on the year.

But between April and June this year the group said like-for-like profits had increased by 20%, against last year's 8% fall in the same period.

Conran Holdings chief executive Des Gunewardena added that the group was particularly pleased with the performance of London restaurants Orrery, Coq d'Argent and Mezzo, which had all increased profits by more than 35% in the first quarter of 2000 compared with 1999.

Conran now predicts turnover of more than £75m for the restaurant group in the current year.