Busaba Eathai reports 48% increase in pre-tax losses
Busaba Eathai, the 17-strong casual Thai restaurant group, has reported a 48% increase in pre-tax losses to £806,000 in its year-end financial results to 28 May 2016.
Turnover and EBITDA, meanwhile, increased by 5.7% to £27.7m and by 21% to £2m respectively. Restaurant EBITDA, calculated by adding back central and head office costs, was up 16% to £4.6m.
Two new restaurants opened during the financial year, in Manchester and Liverpool.
Following the agreement of a new £17m funding package in June 2016, two further sites opened near Oxford Street, London, and St Albans, Hertfordshire, last month. Two refurbishments have taken place so far this year, with four more in the pipeline.
Chief executive Jason Myers said the company was delighted with the group's performance, despite challenging conditions impacting the casual dining market, including the fall in the value of sterling and the absorption of the National Living Wage.
"Improvements and controls put in place in terms of training and menu development have delivered a good trading result for Busaba Eathai whilst our mobile loyalty and payment programme has increased spend per head and repeat business," he said.
"Through careful negotiation with suppliers and the continued evolvement of our reward-driven mobile app, we are confident Busaba will continue to perform well and remains on track to grow across the UK."
Busaba Eathai was founded in Soho, London, in 1999 by restaurateur Alan Yau.
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