Oliver’s Real Food hopes its engagement with landlords over the next six months will lead to better outcomes as it navigates a challenging trading environment amid global geopolitical movements.
“Automatic increases in rents, increased labour and energy costs will make trading conditions very challenging in the months ahead,” said the fast food restaurant.
“Management remains very focused on continual improvements in our business, controlling what we can to increase sales and offsetting cost increases with savings.”
Oliver’s noted that the upcoming federal election and record insolvencies in the country may also have a flow-on impact on the business.
The company is developing an alternate store structure based on ‘Food to Go’ to reduce service time, staffing, and equipment requirements, and which will need less space than current stores.
The company will trial the alternate store structure next month. The company believes the new structure will be ideal should it embark on a ‘High Street’ model.
Oliver’s reported a worsened first-half net loss of $825,936 after revenue slid 0.7 per cent to $12.9 million in the first quarter.
The company closed its Lithgow store last July, followed by its Coffs Harbour store in October.