Shares in restaurant, clubhouse and hotel sites owner Various Eateries (VARE:AIM) gained 6.2% to 98.8p after the company reported strong trading post reopening.
In the five weeks to 16 May life-for-like sales grew 11.3% across the Coppa Club estates in outdoor trading compared with the same period in 2019.
Coppa Club is a collection of clubhouses which combine restaurant, terrace, cafe, lounge, bar, and workspaces.
Once sites could open indoors from the 17 May, there was a ‘significant uptick’ in sales growth with like-for-like revenues up 28.3% compared with 2019.
The company noted that several Coppa Club sites had experienced record levels of weekly trading despite the restrictions while ‘solid trading’ was seen at the Tavolino Tower Bridge and Strada Southbank in the absence of tourists.
Tavolino is a restaurant aimed at addressing a gap in the market for high-quality Italian food at mid-market prices.
SITE EXPANSION ON TRACK
Various Eateries listed on the market in September 2020 and is backed by Punch Taverns founder Hugh Osmond. It is run by a highly experienced team, targeting distressed sites in prime locations, and identifying complementary bolt-on acquisitions of other restaurant brands to accelerate growth.
The group has 13 sites with two yet to open and said it has a very healthy pipeline of premium new site opportunities.
For the 27 weeks to 4 April all sites were closed for the majority of the period resulting in revenues falling to £3.3 million from £11.2 million and an operating loss of £2.4 million compared with a loss of £2.3 million in the first half of 2020.
The group had cash of £20.8 million at 22 June 2021.
