Shares in Restaurant Group (LON:RTN) soared in early trading on Friday, after reporting a weaker-than-expected dip in sales for the five months to the end of March.
Comparable sales at the group’s restaurants, which include the Frankie & Benny’s, Chiquito and Coast to Coast chains, fell by 1.8 percent, with total sales declined 1.5 percent.
This marks a rapid improvement on the 3.9 percent contraction in 2016 comparable sales that was reported in March.
In a statement, the company said:
“In the period we saw strong performances from our Concessions business, benefitting from strong growth in passenger numbers, and from our Pubs business, helped by favourable weather.
“2017 is a transitional year. We continue to address the competitiveness of our Leisure businesses and are focused on achieving a sustainable volume-led turnaround. Where opportunities to accelerate our progress present themselves, we will invest appropriately.
“Accordingly, we continue to expect to deliver a PBT outcome for the full year in-line with current market expectations.”
In a note to clients, Liberum analysts cheered investors buy calling the trading update ‘reassuring’. Shares in the company spiked in early trading, and are currently up 9.48 percent to 347.50 (0912GMT).