Company That Operates Five Guys In Ireland Experienced Losses Of €505,645 During Year That Ended On March 31, 2020
Accounts lodged by the company that operates the Five Guys burger restaurant chain in Ireland, Anart Restaurants Ltd, have revealed that the firm experienced losses of €505,645 during the year to that ended on March 31, 2020.
The above losses followed a loss of €1.1 million during the year that on March 31, 2019, and, as reported by The Business Post, the company's accumulated losses now amount to €2 million.
According to The Business Post, the company's directors notes in the accounts that the four Dublin Five Guys outlets were closed for a period during the early COVID-19 lockdown, and subsequently limited to collection and delivery services, which "may have an adverse impact on the results of operations, financial position and cashflow in 2021".
The Business Post quotes the directors as saying that they have "prepared projections and cashflow forecasts including managing the revenues, overheads and appropriate actions to mitigate the impact of COVID-19".
The directors reportedly said that they have secured forbearance on debts owed to other companies and came to the conclusion that it was appropriate to prepare the accounts on a going concern basis.
According to The Business Post, the audit report from Grant Thornton stated that this assumption is "dependent on the company trading profitably in the aftermath of COVID-19 and the forbearance of amounts due to group companies".
The audit report reportedly noted that "these conditions indicate the existence of a material uncertainty which may cast significant doubt on the company's ability to continue as a going concern".
According to The Business Post, Grant Thornton has flagged that COVID-19 has left a material uncertainty hanging over the Five Guys burger chain in Ireland.
Anart Restaurants Ltd is run by brothers Brett, Ross and Dery Desmond.
According to The Business Post, the company through which the Desmonds run their restaurants in Belfast, Restrana Belfast, experienced a loss of just under £200,000 during the year that ended on March 31, 2020, which increased its accumulated losses from £338,958 to £536,282.
The Business Post quotes the company's directors as saying that the company has taken "appropriate actions to mitigate the impact of COVID-19" and are "satisfied that it is appropriate to prepare financial statements of the company on a going concern basis".
A note in the accounts reportedly stated that Grant Thornton's audit report contained a material uncertainty relating to the company's going concern status.
The Desmonds reportedly declined to comment when they were contacted by The Business Post.
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