StockMarketWire.com - Ten Entertainment Group has reported a 56.9% fall in total sales for 2020, as most of its centres were closed for half of the year as a result of the pandemic and renewed lockdowns.

According to the group's full year results statement to 27 December 2020, pre-covid trading was strong, delivering +12.7% total sales growth and +9.6% like-for-like sales growth in the first 11 weeks of the year before the Lockdown, continuing the business's strong momentum of 8 consecutive years of like-for-like growth.

February was particularly strong as 'well executed half-term plans' delivered like-for-like sales growth of +16.7%, the company said.

Reopening in mid-August was encouraging, the statement showed, with August and September delivering 77% of last year's sales despite operating at only 50% capacity.

However, as the regulatory landscape continued to evolve and tighten there was a significant impact on consumer demand.

The introduction of curfews; Rule of Six; complex constraints governing alcohol sales; and most significantly a ban on household mixing created considerable consumer confusion and impacted on Ten Entertainment's ability to run its centres profitably in the final quarter of the year.

The group plans to announce its full-year results at the end of March 2021. Since there is currently little clarity in the trading visibility the group continues to withhold financial guidance.

Nick Basing, interim executive chairman, said: 'Our leadership team have ensured that the business has been maintained in first-class shape for when we are able to reopen fully. We have used this extraordinarily challenging year to strengthen our underlying business model, and I'm delighted to confirm Graham Blackwell as CEO who as an executive is second to none. The relevance of our great value family entertainment proposition should ensure a rapid return to our trajectory of sustained growth.'

Mr Blackwell, the group's CEO, added: 'We expect there to be significant pent-up demand when our business reopens. Our highly popular competitive socialising model, operating in safe, spacious and well-invested centres, will be extremely attractive to people in a post vaccine environment. We have secured strong liquidity headroom well into 2022 and anticipate a rapid return to profitability and previous sales levels once the Government eases trading restrictions.'


At 10:01am: [LON:TEG] Ten Entertainment Group PLC share price was 0p at 179p



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