Tasty's shares drop after warning on 2017 headline operating profit
Shares in Tasty are down about a third after it warned trading since its year end has been challenging and that headline operating profit for 2017 is likely to be below that of 2016.
FTSE AIM All-Share
754.69
16:50 24/04/24
Tasty
1.20p
16:55 24/04/24
Travel & Leisure
7,630.10
17:09 24/04/24
"Post year end trade has been below expectations and the directors believe that the trading environment for the coming 12 months will remain challenging," said chairman Keith Lassman, as the company swung to a loss of £88,000, from a profit of £3.1m.
"As a result, the group has revised down the planned number of openings for the current year from 15 to 7 and expects that headline operating profit will be below that achieved in 2016."
Headline operating profit before pre-opening costs and non-trading items in the just-finished year was £4.8m, up from the £4.0m recorded previously.
Lassman also said Tasty was undertaking a full review of the estate and operational structure and was implementing a number of strategies to improve performance.
He said the company's directors believed Tasty's core 'Wildwood' brand remained attractive to customers.
At 12:54 GMT, shares in AIM-listed Tasty were down 32.03% to 77.5p each.