Fulham Shore says business bounced back in second quarter

Fulham Shore said it made back much of the profit lost during the first Covid-19 lockdown but warned changing government measures made the outlook too uncertain to provide guidance.

The owner of the Franco Manca pizza chain said revenue fluctuated during the first eight months of its financial year, mirroring trading constraints imposed by the government.

The company suffered a loss in the first quarter, which coincided with the severe national lockdown in response to Covid-19. As restaurants were allowed to reopen Fulham Shore's earnings recovered a good deal of the lost sales in the second quarter, it said.

The government's second, less severe lockdown for England is due to end on 2 December. It will then adopt a tougher tiered system of local restrictions that hospitality groups have warned could wreck the industry.

"It is not possible to predict the outlook for the rest of the year given the ongoing uncertainty over the nature and length of further restrictions that the government may impose," Fulham Shore said in an update before its annual general meeting.

The company said rents on properties were falling and that it would take advantage of cheap deals to open restaurants if the right opportunities came up."

Fulham Shore shares, down 27% in 2020, rose 3.9% to 8.96p at 10:01 GMT.

Franco Manca has traded successfully during a fraught period for the UK's saturated casual dining sector. The company is working on the chain's 53rd restaurant in London's Borough Market and the 19th venue for its other chain, the Real Greek.