Fulham Shore PLC (AIM:FUL), the owner of the Franco Manca and The Real Greek restaurant brands, said it traded in line with management expectations in its first half, with revenue showing growth both year-on-year and on pre-pandemic 2019.
The restaurant group also announced an expansion into retail with the launch of its Franco Manca pizza brand in supermarkets across the UK.
Revenues for the half-year to the end of September 2022 increased by 25% compared with the same period last year and were 35% ahead of 2019, prior to the onset of COVID-19.
The company noted that this performance was achieved despite challenging political and macroeconomic circumstances as well as sporadic train and tube strikes.
Fulham Shore said its debut range of five premium Franco Manca Chef's Selection cook-at-home pizzas, developed through a licensing partnership with the fine Italian food business Rondanini, will be available from over 500 supermarkets from this week.
The company said it may expand into more stores over the coming year and may partner with further grocery retailers from late 2023. It noted that the expansion will introduce the Franco Manca brand to consumers throughout UK, especially in areas where Franco Manca does not yet have any restaurants.
The company now runs 95 restaurants, having opened four Franco Manca pizzerias and two The Real Greek restaurants since the end of August. Scotland's first The Real Greek restaurant will open in Edinburgh in December 2022.
Fulham Shore has previously announced that it plans to open 18 restaurants during the 12 months to 26 March 2023.
The opening target for the 2024 financial year will be reviewed on a ongoing basis based on the economic and political outlook, it said.
Looking ahead, the company said inflation, rising interest rates and political uncertainty continue to affect consumer confidence, which combined with input cost inflation, are making trading conditions “more unstable and unpredictable than at any time in recent memory”, resulting in “a lack of transparency for short-term trading”.
Fulham Shore said its net cash of over £2.6mln as of end-September combined with undrawn bank facilities of £16.9mln provide the company with “substantial financial headroom”.