Young's revenue up 33% driven by Geronimo and hotels
London-based pub company Young's has reported a 33% rise in revenue to just over £90m for the half year to 3 October 2011.
The company also saw a 10.5% rise in adjusted pre-tax profit to £12.5m, although it made a pre-tax loss of £16m as a result of an estate revaluation.
Young's said the results were "very encouraging" and were driven by a combination of last December's Geronimo acquisition, good trading from the existing pub estate and strong growth in hotels' profits.
Like-for-like revenues among managed houses were up 4%, and Geronimo like-for-like revenues were up 126%.
The company invested £11.6m in managed houses over the period, including three new outlets: the Cow in the new Westfield shopping centre in Stratford; the Lion & Unicorn in Kentish Town; and the Plough at Clapham Junction.
The hotels business saw accommodation sales rise 21.9% and revpar up 14.3%.
Stephen Goodyear, chief executive of Young's, said: "This has been an extremely encouraging six months for Young's. Our estate has traded very well, the acquisition of Geronimo is proving to be every bit the success we expected, and our hotels business has shown further strong growth.
"Our decision to focus on an estate of premium managed houses, primarily in London and the south of England, is clearly paying off and will help to insulate us against the worst of any further economic downturn. We anticipate a healthy pipeline of opportunities, using our balance sheet strength, to grow further in line with this strategy.
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By Neil Gerrard
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