His first report showed annual revenue remained relatively stable between 2024 and 2025 at about $12m.
But increasing labour, food and occupancy costs significantly reduced gross margins and operating profitability.
Last year, the business moved from a modest operating profit to a loss despite maintaining revenue at approximately $12.4m.
Management responded by cutting underperforming restaurants and implementing cost reduction moves, including reducing head office overheads.
Gross margin declined from 31% in 2024 to 21% this year and the company recorded an Ebitda loss of approximately $785,000 and a net loss before tax of approximately $1.35m.
Immediately before the…