Nando’s losses double after ‘most challenging year’
Sales fell by 39.3% after restaurant closures and periods of off premise trading
Nando’s has revealed that its annual pre-tax losses for the period ending 28 February 2021 have more than doubled to £240m in what it called the “most challenging year in its history”.
The company announced that revenues were down by 39.3% during the period to £665m (2020: £1.09bn), after “significant” periods of restaurant closures and off premise trading across all markets.
Meanwhile, capital investment decreased to £54.2m (2020: £97.4m), and net liabilities increased from £11.9m to £139.1m, which the company said was predominantly driven by the “draw down” of banking facilities during the pandemic and accrued interest.
The group had previously been hit with supply issues back in August which forced it to temporarily close 50 of its UK outlets.
As a result of the pandemic, the group said its total number of employees has fallen from 22,412 to 20,457 globally.
Robb Papps, group chief executive, said: “Against this difficult backdrop, I am incredibly proud of the way Nando’s has responded; with a clear focus on our people and supporting our communities.
“I am particularly pleased that we succeeded in avoiding redundancies at our UK restaurants and avoiding any permanent closures.”
He added: “Looking ahead, the Nando’s brand remains very well placed, underpinned by our delicious peri-peri chicken, continued menu innovation, our focus on social impact and our investment in delivery, loyalty and customer technology which is making it easier for more people to eat Nando’s.”
