Young's reports positive interim results despite recession
South-east pub group Young's has reported a "good performance" for the first six months of the financial year despite the recession and a rise in rates.
The group, which reported profit slumps of 63% in May, saw an increase in revenue of 1.5% to £67.2m for the 26 weeks to 26 September.
Its managed pubs revenue, which accounts for the majority of its overall revenue, was up 1.7% but down slightly by 0.7% on a like-for-like basis.
Operating profit was up by 0.7% despite what Young's called "large increases in electricity and rates" and it reported that its interim dividend was up by 2% to 6.24p a share, the interim dividend rising for the 13th consecutive year.
Food revenues were up by 3.1% but down 0.6% on a like-for-like basis, while wet sales held their ground with managed house liquor revenue up by 2.3%.
Young's chief executive Stephen Goodyear said the results were positive, especially given the current climate, and added that the business was in a prime position to expand.
"Young's has turned in a good performance in a period that has seen many challenges for the pub industry," he said.
"Our strategy is focused on maintaining the premium position of our estate to maximise long term profitability. We have therefore resisted the temptation to chase sales through heavy discounting and this approach has served us well."
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By Rosie Birkett
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