Jacobs Media Group is honoured to be the recipient of the 2020 Queen's Award for Enterprise.

Safestay reports half-year revenue increase of 23%

25 September 2017 by
Safestay reports half-year revenue increase of 23%

Luxury hostel owner and operator Safestay has reported a 23% increase in its half-year revenue to £4.1m.

In its interim results for the six months which ended 30 June 2017, the group says revenue was up from £3.3m during the same period last year, following a full year revenue increase of 85% to £7.4m last year.

It also reported a 62% increase in earnings before interest, tax, depreciation and amortization (EBITDA) to £1.3m.

The company completed an £18.4m debt restructuring and refinancing, and sale and leaseback transaction on its Edinburgh and Elephant & Castle, London, hostels earlier this year, raising £12.6m.

Average occupancy across the group's four UK hostels increased to 71.6% from 63.7% during the same period last year, with the Kensington Holland Park hostel producing like-for-like revenue growth of 31.3% to £800,000.

Larry Lipman, chairman of Safestay, said: "I would point to the improvement in performance at our Kensington Holland Park hostel as a key factor for taking real confidence from our trading performance, as it means all four of our UK hostels are trading to plan."

The 80-bedroom expansion of Safestay's Elephant & Castle hostel will begin soon, estimated to finish in October 2018. Safestay has four hostels in the UK in total.

Safestay sees 85% revenue increase to £7.4m >>

Safestay announces £18.4m refinancing deal >>

Safestay adds three more hostels in Europe >>

Safestay Hostels appoints new chief operating officer >>

Videos from The Caterer archives

Are you looking for a new role? See all the current hospitality vacancies available with The Caterer Jobs

The Caterer Breakfast Briefing Email

Start the working day with The Caterer’s free breakfast briefing email

Sign Up and manage your preferences below

Check mark icon
Thank you

You have successfully signed up for the Caterer Breakfast Briefing Email and will hear from us soon!

Jacobs Media Group is honoured to be the recipient of the 2020 Queen's Award for Enterprise.

The highest official awards for UK businesses since being established by royal warrant in 1965. Read more.

close

Ad Blocker detected

We have noticed you are using an adblocker and – although we support freedom of choice – we would like to ask you to enable ads on our site. They are an important revenue source which supports free access of our website's content, especially during the COVID-19 crisis.

trade tracker pixel tracking