Owners of Wagamama, Frankie & Benny's and Chiquito has unveiled future plans to shut up shop for around 35 loss-making outlets - it has been announced in a trading update this morning.
The Restaurant Group (TRG) has announced that it will reduce its estate in the region of 30 per cent - with plans of converting as many as three restaurants into Wagamama outlets.
The remainder will either be sold - or the lease will end/be left to expire.
Read more: Couple marry in £10,000 wedding at Frankie & Benny's with Arg as the officiant
The Mirror reports that it comes after TRG announced its pre-tax loss widened to £86.8million last year, compared to £35.2million in 2021, as the cost of living dug into its profits. However, sales jumped to £883million last year, up from £636million the previous year.
TRG also owns Brunning and Price pubs, American food chain Coast to Coast and steak and burger brand Firejacks. TRG have been approached for more clarification on the brands which could be affected most by the closures.
Andy Hornby, chief executive of The Restaurant Group, said: "We've delivered a strong operating performance for the year in a market which has continued to pose a number of headwinds for casual dining operators. Current trading has been very encouraging to the great credit of our teams who continue to ensure our customers receive the best experience possible.
"We have a clear plan to increase EBITDA margins over the next three years and deliver significant value for all our stakeholders."
TRG has already closed hundreds of its restaurants over the years following the coronavirus pandemic. At least 61 Chiquito restaurants were closed in 2020, while 125 Frankie & Benny’s locations were also shut for good.
But TRG is far from the only restaurant brand to have struggled in recent years. Byron Burger announced it was to close 31 of its sites in 2020, which left the group with around 21 restaurants still standing.
At the beginning of 2023, it was reported that Byron was to close a further 10 sites as part of a huge overhaul of its business. The Casual Dining Group, which owns Bella Italia, Cafe Rouge and Las Iguanas announced it had gone into administration in 2020.
The group later announced that 33 Bella Italia sites were to close, 31 Cafe Rouge restaurants would close, 11 Las Iguanas, and three Belgo. More recently, pub chain Wetherspoons announced in 2022 that it would be closing a total of 39 pubs due to soaring inflation.
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