Young’s saw like-for-like sales in its managed division grow 5.6% in the year to 28 March, with total sales up 5.6%.
Total group revenue for the year was up 8.3% to £245.9m and adjusted operating profit up 9.6% to £41m.
The company saw further growth in its hotels business, with accommodation sales up 11.6% at £10.4m, reflecting further strong improvement in RevPAR.
In its tenanted business, Ram Pub Company, revenues were up 1.6% and 1% on a like-for-like basis with operating profit up 4.7% to £4.5m.
The company said managed house revenue in the first seven weeks of the new financial year was up 8.1% in total and up 5.3% on a like-for-like basis. Looking at trading for the last 13 weeks managed house revenue was up 8% in total and up 5.1% on a like-for-like basis.
Like-for-like revenue growth in the managed estate was shared across the main drivers of trade with drinks up 5.2%, food growing 6.5% and accommodation 8%.The company said draught beer sales were on an upward trend, with sales up 7.5%, driven almost evenly between volume, price and mix.
Young’s invested £45.1m during the yearm including eight new managed houses - which took it past the 250-pub mark for the first time. Young’s now operates 171 managed pubs and 80 tenancies.
The company said the new financial year would benefit from two recent acquisitions. The Woolpack (Bermondsey), a tenancy, was acquired on the first day of the new financial year and, as revealed by MCA earlier this month, the group has exchanged contracts on the Blue Boar (Chipping Norton), which will be added shortly to the managed portfolio.
Outgoing chief executive Stephen Goodyear said: “This has been yet another excellent year for Young’s, with strong like-for-like revenue performance once again, converting into a double-digit increase in underlying profits, and record cash generation which has enabled a continued high level of investment in our estate. In turn, this has translated into healthy returns to shareholders with the proposed final dividend making nineteen unbroken years of dividend growth.
“Trading in the current year has started well and, in the months ahead, we will benefit from recent acquisitions including two since the year-end, and from summer events such as the Queen’s 90th birthday celebrations and the European football championships. We are well positioned at the premium end of the market, have the financial resources to invest in further growth, and are therefore well set for another successful year.
“After thirteen years of doing so, this is the last time that I will be reporting on our results as Chief Executive. Young’s is a wonderful company, not least because of the energy and enthusiasm of our people throughout the business. No-one exemplifies these qualities better than Patrick Dardis, who has been an integral part of our success in recent years. I have every confidence that we will continue to thrive under his leadership.”
