Franco Manca sales rise as owner rolls out more stores
The owner of Franco Manca has affirmed its expansion plans as the restaurant business reported a rise in sales.
The Fulham Shore, which also owns The Real Greek, said in a statement ahead of its annual general meeting (AGM) on Wednesday that revenues increased in the first 21 weeks of the year.
The growth was driven by new openings at Franco Manca and higher customer numbers, but there was a dip at The Real Greek which had benefitted from last year’s heatwave.
The company also said its opening programme was progressing as planned, while more opportunities are coming to market at “ever lower rents” due to the challenges facing the wider retail and dining sectors.
The 50th Franco Manca is under construction in Manchester, while the 17th The Real Greek site is under way in London.
This will take the portfolio to 67 UK restaurants and one Franco Manca franchise in Italy.
Leisure analyst Mark Brumby, of Langton Capital, said: “Rival operators continue to struggle. Franco Manca’s price points are hard to beat.
“Everyday low prices have led to high sales per unit. Queues are common. There was minor cannibalisation around 18 months ago but, given the blistering performance of the group’s Greenwich store, that would appear to have worked through.”
“It offers what the customer wants to buy at a price they are prepared to pay,” he added.
Shares in The Fulham Shore were trading 3.6% higher on Wednesday morning.