London pub operator Young’s has reported “strong trading” with total revenue for the 26 weeks ended 27 September was £149.6m (2020: £52.7m), with an adjusted Ebitda of £42.7m (2020: £1.5m). Pre-tax profit was £22.2m (2020: loss of £22.2m).
The company stated: “For the same 24-week period since reopening on 12 April, total managed revenue was encouragingly only 1% lower than 2019, despite operating under significant covid-19 related restrictions up until 19 July. Throughout our successful reopening, we benefited from the major capex programme in our pubs, hotels and outdoor areas that was largely undertaken in the last financial year.
The group said it benefited from its major capex programme largely undertaken in the last financial year, having invested £13.1m in its pubs, hotels and outdoor areas.
Net debt reduced by £108.4m to £140.3m since the year end. Following the reopening of its pubs and positive cash generation in the period, the board decided to resume dividends, with payment of an interim dividend of 8.55 pence per share.
Patrick Dardis, chief executive of Young’s, said: “The proceeds from the sale of the tenanted pubs further strengthens our balance sheet, ensuring we have sufficient funds to invest further in our current estate and capitalise on any attractive acquisition opportunities that present themselves.
“Following the disposal, we are now a focused operator of well-invested, premium managed pubs and hotels. We expect to benefit further in future years from the planned capex programme due to kick start in the second half and are well-positioned to deliver long-term sustainable growth.”
He added: “With excitement for the festive season building week on week, there is potential for a very good second half. There is now a real sense of enthusiasm and anticipation across the business for the months and years to come.”