07 May 2021
By Maynard Paton
Results summary for Tasty (TAST):
- A predictably awful performance, with total sales down 46% and sales at operating restaurants down by approximately 30%.
- H2 was not as bad as H1, witnessing improved cash flow and much lower write-offs.
- A loan from Barclays may indicate TAST’s future is “assured“, but effective net cash of £0.25m is not a huge safety buffer.
- Indoor dining should resume within two weeks, which ought to enhance cash flow and alleviate overdue obligations.
- A new option scheme that pays out in full if the shares reach 16p gives some indication of the possible recovery upside from the recent 7p. I continue to hold.