Strong LfL Revenue Growth As Youngs Announce “Excellent Results”
Sales and profits at the pub operator Young’s are both substantially up, as the group reveals its full-year financial results for the 52 weeks ended 31 March 2025.
The group recorded strong like-for-like revenue growth of 5.7%, supported by sales during EURO24 and the Christmas period.
Total revenue for the period was up 24.9% to £485.8m, and adjusted EBITDA up 23.2% to £113.6m. Managed house EBITDA for the period was up 22.4% to £138.3m.
Young’s generated an adjusted operating profit of £71.4m, with, according to the business, a sector leading margin of 14.7%. This is despite National Living Wage increases of almost 10%, utility costs and H1 head office dual running costs of £2.1m from the City Pub Group acquisition.
A strong cash generation, a balanced investment strategy and the selective disposal of nine trading pubs has reduced year end net debt (pre-IFRS 16) by £19.5m to £248.3m (net debt £336.3m), with net debt to EBITDA (pre-IFRS 16) at 2.4 times (net debt to adjusted EBITDA 3.0 times).
Like-for-like managed house revenue for the last nine weeks was ahead of last year by 8%, which Young’s says gives the board confidence for the year ahead.
Simon Dodd, Chief Executive of Young’s, commented:
“I am delighted to announce another excellent set of results, reflecting the strength of the Young’s strategy. During the year, customers flocked to our wonderful pubs to watch EURO24 and celebrate Christmas. Poor weather at the start of the year held back early trading, but unseasonable March sunshine delivered a welcome boost to sales. We have successfully completed the integration of the City Pub Group, realising all the promised synergies and we are well advanced in achieving further operational benefits.”
“A tough macroeconomic environment for the industry seems to have been par for the course since I became CEO and Government changes coming into effect in April make life no easier. However, we are in excellent shape, with our differentiated approach and premium business model positioning us well in difficult conditions. Young’s continues to be a leader for like-for-like sales in our sector and everything within our control is going to plan.”
“It’s been a fast start to the new financial year, with the great weather throughout April and May meaning our beautiful pub gardens and riverside locations have been packed full of customers. Whilst we remain mindful of the headwinds facing consumers and the wider issues that our industry will encounter, we are confident our premium, well-invested, predominantly freehold pub estate will continue to deliver profitable growth.”