Various Eateries reports strong second half, company in a ‘strong position’ to mitigate effects of the Budget: Various Eateries, the Hugh Osmond-backed business, has reported a strong second half of the year following the return of tourists to London, and said the company is in a “strong position” to mitigate the “major blow” that was last month’s Budget. Giving a trading update for the 52-week period ending 29 September 2024, the company said group revenues are expected to be slightly ahead of current market expectations at an unaudited £50.5m (2023: £45.5m), generating a small positive adjusted Ebitda also slightly ahead due to efficiency improvements, coupled with further softening of inflationary pressures. The group’s financial position remains healthy, with cash at bank at 29 September 2024 of £5.8m (2023: £1.9m). Group like-for-like sales grew by 1% in the second half compared to the previous year. The final quarter saw a 4% increase, despite above-average rainfall, improving overall performance from -3% at the half-year mark to -1% by year-end. “The stronger second half performance reflects the impact of various initiatives designed to enhance the customer experience,” the company said. “While not yet at pre-pandemic levels, the continued return of tourists to the UK, particularly in London, is likely to have positively impacted trading, with Coppa Club Tower Bridge delivering a standout performance. We have been successful in elevating both outdoor and indoor spaces across the Group in the period, exemplified by the addition of The Lobster Bar, a canopy-covered riverside bar and BBQ at Coppa Club Streatley, along with other well-received refurbishments. These enhancements are part of our ongoing strategy to create exceptionally inviting and truly distinctive spaces across all our locations. Our new openings in the year, Noci Richmond and Coppa Club Cardiff, have both made promising starts. We continue to see considerable opportunities for expansion but remain committed to a measured and disciplined roll-out, proceeding only with sites where we have a high degree of confidence in long-term, sustainable success. Our marketing function has now been divided into two distinct teams, with newly appointed heads for each of the core brands, Noci and Coppa Club. This strategic approach, which better aligns with the operations of the Group, is already delivering positive results and a growing presence across social media platforms. In the year under review, as is the case across the hospitality sector, we have had to navigate the continued impact of minimum wage increases. To address this, we have intensified our focus on driving greater efficiencies across the business. Our new head of procurement has made progress in streamlining our supply chain and optimising supplier agreements, while a major initiative to optimise resource allocation across the group has been completed. Following the recent Autumn Budget, the board’s view is that above-inflation increases to minimum wage, substantial increase in NI rates, and dramatic lowering of the Employer NI threshold, together with changes to workers' rights, will substantially increase the costs and administrative burden of employing young people. As a major employer of first-time workers, the hospitality industry will be particularly affected by these measures. Various Eateries is in a strong position to mitigate these effects, but this is still a further major blow to a struggling industry that employs more than three million people, mostly under 25.” Executive chairman Andy Bassadone added: “It is gratifying to see the progress made, particularly in the second half of the year, which reflects the tireless work of our teams in delivering superior experiences to our guests. At the same time, we've achieved meaningful gains in operational efficiency, which will help to offset government mandated cost rises next year, all while maintaining the high standards that define our brands. While the market remains challenging, we are encouraged by the continued easing of the pressures that have negatively impacted the industry, such as food and utility costs, alongside signs of gradually improving consumer confidence. With a strengthened organisational infrastructure now in place, there is a sense that momentum is returning to the business. While we will remain cautious in our expansion, we are confident in the group’s long-term growth prospects and look forward to building on our successes in the coming financial year.”

The Ivy Collection to open in Bournemouth tomorrow: The Ivy Collection, the Richard Caring-backed restaurant brand, will open a new restaurant in Bournemouth tomorrow (Tuesday, 12 November). Located in Bournemouth Square, just a stone’s throw from the town’s beach, The Ivy Bournemouth Brasserie has seating for more than 200 guests. The Ivy Collection’s 42nd restaurant, it will create 120 jobs. General manager Barnaby Harris-Reid said: “Bournemouth’s stunning coastline and welcoming community make it the perfect location for our newest restaurant and our team is so excited to welcome guests.” It is one of four new restaurants The Ivy Collection said in September that it would be opening before the end of the year. Of these, it has also opened in Canterbury and Belfast – the company’s first full service restaurant in Northern Ireland – but is yet to open in Liverpool, where it has lined up the former Bank of England building in the city’s Castle Street.