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

Ei Group sees EBITDA drop to £287m despite like-for-likes up in leased and tenanted business

21 November 2017 by

Pub business Ei Group (formerly Enterprise Inns) has seen EBITDA drop £5m to £287m as a result of disposals.

Profit before tax was only down £1m to £121m thanks to reduced levels of debt having less impact on underlying finance costs for the financial year ended 30 September 2017.

Like-for-like sales were up 2.3% in its publican partnerships business, with average income per pub rising 5% to £79,600. The business contributed £325m to the group.

In Ei's managed operations, which include its Bermondsey and Craft Union businesses, contributed £13m to EBITDA, up from £4m in 2016.

Chief executive Simon Townsend said he was delighted with the growth in its leased and tenanted business, achieved within the regulatory framework of the Pubs Code.

He added: "We are delivering on our plans for the transformation of the group and are now beginning to accelerate the execution of these plans as our financial metrics and balance sheet continue to strengthen.

"We are mindful of current economic and political uncertainty and the inflationary cost headwinds faced by our industry, notably the rising minimum wage and above inflation increases in business rates, but our flexible business model and robust financial position leave us well placed to succeed despite these conditions.

"The current financial year has started well and we are on track with our plans. We aim to deliver positive like-for-like net income growth in our leased and tenanted and commercial estates for the year ahead, and we are encouraged by the trading performance of our expanding portfolio of managed houses."

The Caterer interview: Simon Townsend, chief executive, Ei Group >>

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