There is “significant doubt” over the survival of Eddie Rockets, according to the Irish Times and the latest accounts filed by the restaurant group.
Last year, Eddie Rockets’s losses ballooned fivefold, and they were forced to lay off a third of their staff due to the pandemic.
Eddie Rockets is owned by Niall Fortune and his wife Ann, and has been in business since 1989.
In a statement shared by the Irish Times, the directors of Eddie Rockets said:
The Covid-19 pandemic has presented many challenges to the company which has resulted in a significant decline in revenues for all of the company’s restaurant locations as a result of Government restrictions and/or a reduced demand for in-restaurant dining….
Even after restrictions are lifted, there is a risk of a recession in Ireland and possibly globally, potentially depressing customer demand, resulting in a period of excess supply in the restaurant market.
While the directors say they are not currently in a position to fully assess the effect of the pandemic on the business, they anticipate a significant decline in cash flow and profitability.
The directors believe the company is “well positioned to return to full trading capacity” once the period of uncertainty and restrictions in the hospitality industry passes. However, they also say that financial assumptions in the current climate “are highly dependent on unpredictable future events”.
Header image via Shutterstock
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