Profits slip at Young's
Young & Co's Brewery has reported a pre-tax profits slip of 7.8%, down from £36.1m in 2015 to £33.3m in the year to 28 March, while operating profits slid to £38.9m, down 6.3% on last year's £41.5m.
However, underlying performance was solid with annual revenue increasing 8.3% to £245.1m from £227m. Like-for-like sales in its managed house estate produced a 5% plus increase for the third year running; accommodation sales in its hotels business grew 11.6% and its tenanted business, Ram Pub Company, managed a revenue and like-for-like sales increase of 1.6% and 1% respectively.
When the balance sheet is adjusted for exceptional items, such as property revaluations, acquisitions and disposals, adjusted operating profit showed a 9.6% increase to £41m and adjusted pre-tax profit increased by 10.6% to £35.4m.
The pub company has proposed a 6% rise in final dividend.
Outgoing chief executive Stephen Goodyear said: "This has been yet another excellent year for Youngs, with strong like-for-like revenue performance once again, converting into a double-digit increase in underlying profits, and record cash generation, which has enabled a continued high level of investment in our estate. In turn, this has translated into healthy returns to shareholders with the proposed final dividend making 19 unbroken years of dividend growth."
Goodyear is moving to a non-exec position after 13 years at the helm and will be succeeded by Patrick Dardis, formerly retail director of Geronimo Inns.
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