Wagamama owner TRG hikes profit forecast as it warns of slow battle to recover consumer confidence
Wagamama owner The Restaurant Group has upgraded its profit expectations after strong trade at the end of last year despite Covid uncertainty.
The group was affected by Omicron concerns and restrictions, such as guidance to work from home, but said it continued to trade ahead of the market.
In a trading update on Friday, the hospitality group said its restaurant and pubs suffered like-for-like sales dips of 10 to 12 per cent in December, compared to October and November.
The operator said it now expects its 2021 fiscal year adjusted EBITDA to be at the top end of previous guidance (£73-£79m) with net debt of less than £180m (previously less than £190m).
Like-for-like sales at Wagamama increased 11 per cent and eight per cent in October and November respectively, compared to 2019 levels.
The firm warned that consumer confidence could take a while to recover despite the government planning to have lifted all plan B measures next week.