The firm behind Italian chains Zizzi and Ask has said it plans to keep opening more restaurants despite extra costs facing the restaurant sector next year.
The boss of Azzurri Group, which also runs Coco Di Mama, said he is “cautiously optimistic” about the recovery of UK hospitality next year despite recent warnings from industry bosses.
Hospitality bosses, including the chief executives of Greene King and Whitbread, told ministers last month that increases to National Insurance contributions would “lead to business closures and job losses within a year”.
We are cautiously optimistic of an ongoing recovery in hospitality in 2025. We have strong businesses that will continue to thrive and look forward to another year of positive development.
However, Azzurri said it hopes to benefit from increased wages and reduced borrowing costs over the next year.
“While UK consumer confidence continues to be impacted by global macroeconomic conditions, falling inflation, interest rate cuts, and rises in wages, means we are cautiously optimistic the global hospitality industry will see further transformation and recovery in the coming year,” it said.
The restaurant group, which has around 230 current locations, said it plans to open “new sites across all the businesses” over the next year.
It is also targeting the growth of the Ireland-based Boojum brand it bought in 2023 in the UK and its core market.
Earlier this month, Azzurri also opened its first UK Dave’s Hot Chicken site as part of a franchise deal for the US brand, which is backed by celebrities including Drake and Samuel L Jackson.
Azzurri also reported on Wednesday that it has seen “encouraging” Christmas trading across its venues.
It came as the company revealed that revenues grew by 18.3% to £303.1 million for the year to June 30, as it benefited from stronger sales and its expansion.
Meanwhile, earnings more than doubled to £32.1 million from £14.3 million a year earlier.
Steve Holmes, chief executive of the firm, said: “We’ve had a successful year with the group continuing to grow both sales and profits.
“It has also been a transformational year for the business strategically as we moved a pure-play restaurant operator into the UK’s leading hospitality investment platform.
“We are cautiously optimistic of an ongoing recovery in hospitality in 2025.
“We have strong businesses that will continue to thrive and look forward to another year of positive development.”
