Pub People Company, the 37-strong East Midlands-based group led by Kevin Sammons, has reported a 3.7% rise in EBITDA for the year to the end of March 2012 and said that it had completed a three-year plan to churn lower profit leases and tenancies and “reinvest into better quality businesses”. The process has seen the company dispose of 29 sites and 14 new ones acquired. Consolidated accounts for Pub People’s two operating companies (and holding company) showed capital expenditure in the year of £364k on new projects with group turnover now at £11.6m, an increase of £370k, or 3.3% on the previous year. The company saw an increase in gross profit of 1.1% and EBITDA stood at £419k. Sammons said: “We now operate 37 pubs, a mixture of freeholds and leased and tenanted businesses. Trading styles are a mixture of destination, food, live music and community venues. We are planning to do additional high value capital expenditure schemes with the more enlightened brewers and pubcos. “Wet margins have been difficult to maintain stability on, due to the duty escalator and suppliers price rises. Intelligent management across the categories and the new businesses which have higher margins has stabilised gross profits. Operating costs increased by 0.8% due mainly to legislative costs and increased specialist marketing.” In July, the group extended its relationship with Downing Corporate Finance to add five freeholds to the estate – the company has acquired two pubs to date, a pub from the Greene King estate and one from the Punch Taverns disposal estate. Pub People Company runs seven Downing-owned pubs under management contract and a further five in joint ownership.