Revenue at Peach Pubs rises despite "challenging" market but profits dip
Peach Pubs has seen a rise in true like-for-like revenue of nearly 5% despite "challenging trading conditions", although profits have dipped.
Turnover at the 18-strong gastropub group, which this year celebrates its 15th anniversary, hit £25.1m in the year to 8 January 2017, compared with £24.8m in the year before.
While this represents a 1.2% rise in turnover overall, Peach said that because the previous year contained 54 weeks, as opposed to the 52 weeks in 2016/17, it represented "true" like-for-like growth of 4.8%.
Meanwhile, the group's normal operations EBITDA (earnings before interest, taxation, depreciation and amortisation) was down from £2.8m in 2015 (once again including 54 weeks), to just over £2.5m in 2016/17.
Pre-tax profit was £523,108, down from £664,131 in 2015.
Peach added one new gastropub to its estate in 2016: the Duke of Wellington in East Horsley, Surrey. Its first boutique hotel, the High Field Town House in Edgbaston, also marked its first year of trading with a "robust performance" and occupancy rates of 75%.
"It's been a positive year for Peach, despite trading challenges in some areas of the business and the tough inflationary situation, and we have come out with another good set of figures," said Peach co-founder, Hamish Stoddart. "We're in profit, have delivered growth and are still up for new developments, with our latest one launching in September.
"This year in the six months to June 2017 we are up 2% like for like. In April to June this year, our garden trade has not been what we would have liked; the weather hasn't helped and we have seen a fall in restaurant covers, but this has been covered by the improvement in bar sales. Trading is interesting in premium pubs. As far as we can tell, we are taking market share in almost all of our pubs."
The year saw Peach create two new partners, Sam Collins and Julie Centracchio (finance director). The business also made the Sunday Times Top 100 Best Companies to Work For and Stoddart said he hoped Peach would rise further from 45th position in the rankings as it concentrated further on training and career development.
Peach said it would continue to aim for 22 pubs in its estate, with two or three more sites expected in 2017 and 2018.
The company celebrates its 15th anniversary in October.
Peach Pubs to open boutique hotel following refinancing >>
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