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The Restaurant Group

April 2020

Investing in shares may lose you all or some of your money. Past performance is no indication of future performance. Some of the shares recommended here may be small company shares, which can be relatively illiquid and hard to trade and this makes such shares more risky than other investments.

  • Epic Code:
  • RTN
  • Price:
  • 29p
Following better than expected interims and director buying, we had hopes for a rapid recovery for the 650-site Restaurant Group but the coronavirus has put paid to that. Final results reveal revenues up 56% to £1,073m (like-for-like up 2.7%) and adjusted pretax profit rising 40% to £74.5m. Eps fell 19% to 11.9p reflecting new shares issued for Wagamama. Crucially, like-for-like sales have risen 5.3% in the first six weeks of 2020 but will likely have fallen since due to Covid-19.Newish CEO Andy Hornby has wasted little time stamping his mark, with emphasis on growing Wagamama, concessions and pubs (together generating c. 75% EBITDA). Wagamama, a pan Asian concept, grew UK like-for-like sales by 8.5% and EBITDA rose 36% ...

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The Restaurant Group - Net debt almost eliminated (April 2013)
The Restaurant Group - Acceleration in new openings (February 2013)
The Restaurant Group -New openings deliver strong results (December 2012)
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The Restaurant Group - Underlying sales turn positive (February 2010)
Restaurant Group - Casual dining firm sees 30% eps upgrades (October 2009)

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