Azzurri Group’s bold bet: Dave’s Hot Chicken fuels growth amid rising costs

Azzurri Group, the company behind well-known hospitality brands such as Zizzi, ASK Italian, Coco di Mama, and Boojum, has undergone what chief executive Steve Holmes called a “transformative year.” Despite a challenging UK trading environment, the group’s entry into the booming fried chicken sector through Dave’s Hot Chicken has proven to be one of its most dynamic strategic moves to date.

A year of transformation and mixed results

The group reported stable revenues of £303.1 million for the financial year ending 30 June 2025, matching the previous year’s performance, but saw earnings before interest, tax, depreciation and amortisation (EBITDA) dip from £32.1 million to £30.2 million . The headline figures, however, mask a year marked by significant reinvestment. Azzurri poured more than £20 million into expanding Dave’s Hot Chicken and Boojum, its fast-casual Mexican brand, while absorbing a £7 million increase in staff costs following the National Living Wage and National Insurance hikes.

That investment drove the group into a £2.7 million operating loss, a reversal from the prior year’s modest £400,000 profit. Yet Holmes remained optimistic, framing the year as one of consolidation and forward-looking growth. “Last year, we consolidated our strategy to deliver outstanding food, service and value through a balanced portfolio of high-performing brands, supported by a platform that drives operational excellence and innovation,” he said.

Dave’s Hot Chicken: a red-hot success story

The standout performance came from Dave’s Hot Chicken, the US-born fast-casual brand that made its UK debut on Shaftesbury Avenue in December 2024. The London site became Azzurri’s highest-grossing opening ever, outperforming established brands within the group’s portfolio.

Within months, additional restaurants followed in Birmingham New Street, Printworks Manchester, Westfield White City, and Stevenage—all trading ahead of expectations. With nine new openings planned in the next year, including Cardiff and Dublin, Azzurri has committed to rolling out at least 180 Dave’s Hot Chicken restaurants across Europe.

For a sector dominated by established chicken players, this rapid expansion signals both confidence and appetite for risk. Holmes described the move as part of a broader vision: “We have an ambitious pipeline of sites across the UK for Dave’s Hot Chicken and will also start our expansion plans in Continental Europe.”

Growth beyond the counter: grocery and delivery channels

While fried chicken stole the spotlight, Azzurri’s grocery and delivery divisions also continued to evolve. Its Coco di Mama brand expanded to over 1,300 points of sale in 2025, with an additional 1,000 projected for 2026 . In September, Coco di Mama products gained nationwide distribution through Tesco, marking a strategic step into mainstream retail.

The Zizzi brand also made notable progress, launching its “Zillionaires” loyalty programme, which surpassed 1.25 million members, and opening a model store in London’s Paddington Basin with an enhanced dining offer.

Balancing ambition and economic headwinds

Despite expansion success, Azzurri’s challenges mirror those facing the wider hospitality industry: higher wage bills, energy costs, and cautious consumer spending. Holmes acknowledged that 2025–26 will remain difficult, with additional wage and National Insurance increases ahead. Nevertheless, he expressed confidence that the company’s diverse portfolio, strong operational infrastructure, and cross-channel growth will sustain momentum.

The group’s ability to balance high-street dining, delivery, and grocery presence reflects a hospitality model that prioritises adaptability—an essential trait in today’s volatile market. As Holmes put it, “Our operational platform and continued diversification mean we remain well positioned to navigate these challenges and capitalise on market opportunities.” 

The takeaway

Azzurri Group’s evolution over the past year tells a broader story about the shifting shape of hospitality. With dining trends fragmenting across restaurants, delivery apps, and supermarket shelves, the group’s pivot toward multi-channel growth and fast-casual expansion appears not only timely but essential. Dave’s Hot Chicken may be the headline act, but the real transformation lies in Azzurri’s willingness to invest, adapt, and think beyond the restaurant table.