Search
The Caterer

The Restaurant Group CFO out as sales drop

29 April 2016 by
The Restaurant Group CFO out as sales drop

Stephen Critoph, chief financial officer of the Restaurant Group, has stepped down from his role as the company announced "a further deterioration in trading conditions".

In a trading update published this morning, the group, which operates the Chiquito, Frankie & Benny's and Garfunkel's brands, said it had been affected by the structural and business challenges announced last month.

For the 17 weeks to 24 April total sales were up 4.7%, but like-for-like sales were down 2.7%.

"In the short term, we do not anticipate any improvement to underlying like-for-like trends and, on this basis, we now expect full-year like-for-like sales to be down between 2.5% and 5.0% which would translate into full-year profit before tax in the range of £74m to £80m," said the statement.

As a result, the company is now reviewing its operating strategy to include its property portfolio, programme of new restaurants, brand positioning and overheads.

The Restaurant Group has been adversely impacted by the growth of online shopping, resulting in reduced footfall in the areas in which its outlets operate, compounded by a highly competitive mid-market restaurant sector which has included the rise of food-led pubs.

The group, which operates more than 500 restaurants, has opened four outlets so far this year, with a further three expected to launch by the middle of the year.

The Restaurant Group exceeds 500 sites for the first time >>

Debbie Hewitt to succeed Alan Jackson as chairman of the Restaurant Group >>

The Restaurant Group reports strong trading >>

Are you looking for a new role? See all the current restaurant vacancies available with The Caterer Jobs >>

Latest video from The Caterer

The Caterer Breakfast Briefing Email

Start the working day with The Caterer’s free breakfast briefing email

Sign Up and manage your preferences below

Thank you

You have successfully signed up for the Caterer Breakfast Briefing Email and will hear from us soon!

Jacobs Media Group is honoured to be the recipient of the 2020 Queen's Award for Enterprise.

The highest official awards for UK businesses since being established by royal warrant in 1965. Read more.

close

Ad Blocker detected

We have noticed you are using an adblocker and – although we support freedom of choice – we would like to ask you to enable ads on our site. They are an important revenue source which supports free access of our website's content, especially during the COVID-19 crisis.