TRG reports Wagama sales up 9% despite backlash from investors
The hotel company anticipates that its cost-cutting measures will enable it to save £5m annually
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Wagamama owner, the Restaurant Group, has revealed that Wagamama sales grew 9% compared with 2022, over the four weeks to April 30, despite facing backlash from activist investors.
According to its latest trading update, covering the 13 weeks to 2 April 2023, it recorded a 15% increase in dine in sales.
Like-for-like sales at the group’s pub division were also up 10% from 2022, and its leisure division saw a 2% increase.
Additionally, airport concessions also saw a 44% increase in like-for-like sales
The hospitality group anticipates that its cost-cutting measures will enable it to save £5m annually.
It added that it expects to benefit from approximately 70% of the £5m of annualised cost savings in FY23, with the full benefit flowing through from FY24 onwards.
As part of the previously announced Leisure estate rationalisation plan, the Group will now close 23 sites in its Leisure estate at the end of May 2023.
The group also stated that it will accelerate the expansion of Wagamama restaurants and anticipates seven to eight new openings in FY24.
