Profits at the well-known London sushi restaurant chain Wasabi have been severely cut as the company eliminated more than 100 positions during its most recent financial year, according to newly released information.
The business has recorded a pre-tax profit of £2.2m for 2024, based on fresh accounts lodged with Companies House, as reported by City AM.
This latest figure follows Wasabi’s pre-tax profit of £7.7m in 2023.
The recent accounts also reveal that the chain’s workforce decreased over the 12-month period from 1,314 to 1,186 employees.
The decline in profits occurred whilst the company’s turnover marginally increased from £120.2m to £121.6m throughout the year.
Wasabi eyeing new UK restaurants
A statement endorsed by the board declared: “Wasabi UK built on its strong prior-year performance, delivering further sales and profit growth, which in turn generated healthy cashflow to reinvest in the business.”
“The restaurant division performed well despite a challenging market environment, with particular strong growth in travel hub locations.
“Continued emphasis on internal processes, productivity and cost control supported solid EBITDA [earnings before interest, taxes, depreciation and amortisation] conversion.”
“Our grocery business delivered exceptional growth, driven by the successful Q4 2024 launch of our range in Morrisons and Co-op, alongside continued strong performance in Sainsbury’s and Tesco.”
The company stated that during 2025 thus far, Wasabi has made “significant investments” in its manufacturing automation, restaurant refurbishment and IT infrastructure. The firm revealed it is “well advanced” in developing a “strong new pipeline” of fresh restaurants nationwide and is “exploring opportunities to work with franchise partners to accelerate this growth.”
Wasabi currently runs 33 sites in London alongside eateries in Birmingham, Cambridge, Kent, Leeds, Oxford and one at Luton Airport.
The business was established in 2003 by Dong Hyun Kim, a South Korean entrepreneur.
Since 2019, Wasabi has been under the stewardship of chief executive Henry Birts, whilst its founder withdrew from day-to-day operations at the close of 2021.
Rival Yo! Sushi loses more than £20m
Wasabi’s figures emerge after City AM disclosed in early June that competitor Yo!Sushi hemorrhaged over £20m during the year its parent company was snapped up for nearly £500m.
The sushi restaurant chain recorded a pre-tax deficit of £22.6m for the 70 weeks ending 31 March, 2024, according to overdue accounts lodged with Companies House.
These results, which should have been submitted by the end of 2024, follow revenue of £138.3m for the corresponding period.
The numbers contrast sharply with the pre-tax deficit of £4.7m and revenue of £84.7m that Yo!
Sushi declared for the 12 months to 27 November, 2022.
