Young & Co has announced Interim Results for the 26 weeks ended 1 October 2018, showing another period of strong performance.
Total revenue was up 8.8% to £156.8m, along with a 4.7% increase in adjusted EBITDA to a half-year record of £40.4m.
Combination of a well-invested, premium estate and the hottest English summer on record delivered 5.2% like-for-like sales increase in managed houses.
There was a continued trend of exceptional summer results, with an average like-for-like sales growth of 5.6% over the past seven years.
The Ram Pub Company (tenanted division) delivered an equally strong performance with like-for-like sales up 4.8% despite the hot summer having less impact due to a smaller proportion of outdoor space
Investment was made of £13.5m during the period, a slight decrease on 2017 due to fewer acquisitions, with one new managed pub. There was increased spend on the existing estate through nine major refurbishment projects within the managed estate and four within the Ram Pub Company.
The company saw strong trading in the first six weeks of the second half, with managed house revenue up 7.2% and up 3.9% on a like-for-like basis.
Patrick Dardis, Chief Executive of Young’s, commented, “I am very pleased to report another strong period of trading, driven by our well-invested managed house estate which has once again outperformed the wider market.
“Propelled by the hottest English summer on record, our beautiful riverside locations, stunning gardens and growing number of roof terraces helped to deliver 5.2% like-for-like sales growth in our managed houses, continuing our trend of exceptional summer performances with average like-for-like sales growth of 5.6% over the past seven years.
“Drink sales enjoyed a particularly strong summer with double digit growth of just over 10% in total and 7.4% on a like-for-like basis while recent investment in our hotel business saw accommodation sales rise by just over 18% during the period.
“Despite severe cost headwinds and ongoing political uncertainty, our expectations for the full year remain unchanged and, thanks to one of the lowest levels of gearing in the sector, we have significant financial capacity for future investment with a strong pipeline of acquisition opportunities.”
