Prezzo picking up the pace of growth with new restaurants

 
Marion Dakers
PREZZO said yesterday it is enjoying a bigger slice of the restaurant market after opening seven new outlets in the six months to the end of June.

The pasta and pizza provider posted a 17 per cent rise in revenues to £79.7m while pre-tax profits rose from £7.5m to £8.2m.

Prezzo said it will open around 30 more branches during this year, and is confident it will meet its full-year earnings expectations.

“We are comfortable that our strong cash generation will provide us with sufficient flexibility and resources to fund our anticipated expansion plans for the foreseeable future. As in previous years, no interim dividend will be paid,” said chairman Michael Carlton in a statement.

Shares in the Aim-listed company closed up 3.5 per cent at 128.25p yesterday, valuing the group at around £288m.

“Given the high quality of the estate and the execution, we see further room for outperformance,” said Peel Hunt analysts in a note to investors.

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