Shares in Various Eateries PLC (AIM:VARE) jumped 5% to 10.5p after the restaurant and hotel group reported record profits and a return to like-for-like growth, defying a tough trading backdrop.
The owner of Coppa Club and Noci said revenue for the year to 28 September rose 6% to £52.4m, ahead of market forecasts, while adjusted EBITDA is expected to come in at least £1.1 million, almost triple last year’s £0.3 million and well above expectations of £0.4 million.
The company said smarter workforce planning, menu upgrades and steady summer trade helped offset about £1.3m of additional wage and tax costs.
Like-for-like sales rose 2% for the year, improving from a 1% decline in 2024, with strong second-half trading up 4%.
Management said the business enters the new financial year with “firm foundations” and £8m in cash, positioning it for further expansion of its two core brands and selective new site opportunities.