CHG restaurants see first profits

Clapham House Group (CHG) last week announced maiden profits for its collection of three restaurant chains.

The owner of the Gourmet Burger Kitchen, Bombay Bicycle Club and The Real Greek chains revealed pre-tax profits of £281,000 for the six months to 30 September 2005. This was up from a loss of £58,000 in the same period of 2004.

Turnover for the group, which now has 27 outlets, also increased, rising from £2.7m in 2004 to £8.6m.

It opened seven new sites in the first half of this year and a further two restaurants, a Real Greek on Marylebone High Street in London and a Bombay Bicycle Club delivery kitchen in Weybridge, Surrey, have opened since the beginning of October.

Analysts were positive about the company's prospects. KBC Peel Hunt forecast full-year profits of £700,000 in March 2006 and 50 units in operation by 2007.

CHG chief executive Paul Campbell said: "Trade is encouraging across all three brands." He conceded that the group had relatively high central costs but said these would be offset by rapid growth in the coming months.