Profits increase at Young's

Total sales in London brewer Young & Co's managed pubs were up by 6% and profits up by 5% during the year to 31 March. Beer sales remained at the same level as the previous year, but food, wine, and spirits profits were up, the company said today. Overall, the brewery and pub group reported a 20.2% increase in pre-tax profits to £10.3m on annual turnover up by 5.7% to £96.9m. During the year the company bought a total of 18 pubs, for £7.4m, and sold three. Young's bought 13 managed pubs, 12 of them from the Bristol-based Smiles Brewery in a £5.8m deal last November. The purchases bring Young's managed estate to 155. During the year the company spent £8.8m on refurbishing eleven managed pubs and added 49 bedrooms to its pub/hotels bringing the total number of bedrooms to 287. A further 31 bedrooms are scheduled to open next month at the Coach and Horses in Kew, Surrey. Occupancy rates at the hotels were slightly down at 70% compared with about 72% in the previous year. Young's said this was because the new pub/hotels "take time to establish themselves." Average room rates were up by 7.7% to £64.62. The company also bought five tenanted properties bringing its total to 46. Beer volumes here were in "a modest decline" but the fall was "offset by a strong wines and spirits performance."