Young’s has reported like-for-like sales up 4.7% in its managed houses for the 53 weeks to 3 April.
Total revenue across the managed house division was up 7% with the like-for-like growth split between 5% for the Young’s managed portfolio and 3.8% for Geronimo.
The Ram Pub Company tenanted estate saw revenues rise 7.1% with a 3.2% like-for-like rise.
The group said managed house revenue in the first seven weeks was up 6.1% and 4.7% on a like-for-like basis.
Total revenue during the period grew 9.4% to £268.9m with profit before tax up 12.8% to £37m.
During the year Young’s Invested £38.2m in acquisitions, transformational developments and estate upgrades.
The group acquired four pubs during the period, sold one and two leases expired.
Just after the current year end the group sold the Kings Arm’s (Epsom) and the Bell Inn (Illminster).
At the year end the estate comprised 252 pubs and its value increased to £689.1m.
Young’s said that drinks sales remained 65.6% of its managed house sales mix – rising to 86% within the M25. Over the year drink sales grew 7.1% and 4.8% on a like-for-like basis.
The group welcomed back Guinness during the year after a three year absence and added new brands such as Beavertown Neck Oil, Twickenham Grandstand and Founders All Day IPA.
The group said that after a year of its partnership with Berkmann Wine Cellars it was seeing a shift away from traditional “house wines” to New World wines. Sparkling wine volumes were up 11.4% in the last year alone and up 121% over a three-year period. Spirit sales are also in strong growth, with volumes up 3.7%.
Food sales were up 7.4% in total and up 4.9% on a like-for-like basis. The group said the standout success story had been the Ultimate Sunday Lunch; with even its Mayfair institution, the Guinea Grill, opening on Sundays again to meet this growing demand.
Having increased the roll-out of its BurgerShack concept, including its little sister, ‘Shack-in-a-Box’, which can pop up to maximise sunny days in smaller gardens, the group now has 25 ‘shacks’, an increase of 13 over the year.
Chief executive Patrick Dardis said: “I am delighted with these results. Yet again we have outperformed the sector, and made progress on all key measures, with revenue, profit, margin, cash generation, investment, the value of our pub estate and shareholder returns all strongly ahead. This is the reward for our consistent strategy of running high quality, differentiated, individual and well invested pubs, at the heart of the communities in which they sit, staffed by well-trained and motivated teams of people.
“The pub is now the most popular destination for eating out in the evening, and recent trading has been strong, with our ranges of craft beer, our “Cocktail Collective”, and our brunch and Sunday lunch offerings all helping drive performance. The good weather at the start of the year and the increase in ‘staycations’ during the Easter holidays ensured our pubs were busy, particularly those on the river and with large gardens.
“The broader economic and political environment remains uncertain and our sector faces unwelcome cost pressures on a number of fronts. In response, we are working hard to ensure we are best placed for whatever is around the corner. We have a reliable track record, a very clear strategy, a great team of people, and the financial muscle to continue to grow. We will continue to surprise and delight our customers, and to grow our estate through carefully selected acquisitions and developments, all in pursuit of delivering superior returns for our shareholders.”