Enterprise Inns plc, the UK's largest pub owner, has today announced its results for the year ended 30 September 2016, showing EBITDA, before exceptional items, stood at £292m (2015: £296m), reflecting the impact of planned disposals.
The firm saw profit, before tax and exceptional items, at £122m (2015: £122m), and profit after tax of £71m (2015: £65m loss), primarily due to lower exceptional refinancing costs and lower property charges arising from the annual estate valuation. This year’s estate valuation increased by 0.1% (2015: down 2.7%).
Continued momentum with leased and tenanted sites saw like-for-like net income up by 2.1% (2015: up 0.8%), with growth achieved across all geographic regions. Improved trading and enhanced operational support have helped to further reduce unplanned business failures, down 14% compared to the prior year.
For the period, the company saw its commercial property like-for-like net income rise by 3.8%. The rapidly expanding portfolio of commercial properties stood at 291 sites at 15 November 2016 at an improved average annualised rental income of £62k (2015: £56k).
The total number of pubs trading within the group's 100% owned Managed Operations business, at 15 November 2016, has grown to 105, with 30 trading under the Bermondsey operation and 75 under the Craft Union operation
There are 11 pubs at 15 November 2016 which are trading within the Managed Investments business unit and are operated through trading agreements with five managed partners.
Simon Townsend, Chief Executive Officer said, “We are pleased to have delivered our financial objectives for the year, maintaining the growth momentum in our leased and tenanted business, while making significant progress in building our commercial property portfolio and managed operations and investments businesses. Our plan to transform the Group to best serve our publicans and their communities whilst maximising returns from each of our assets remains on track.
'Whilst there is the potential for some economic uncertainty in the months ahead, trading in the first six weeks of the new financial year has been in line with our expectations and we are confident that the actions we are taking to execute our strategic plans are the most appropriate response to changes in the regulatory and economic environment. Our proactive management of debt refinancing and our returns-driven approach to allocating excess cash will deliver both near and long-term benefits to all our stakeholders.”