YOUNG & CO.'S BREWERY, P.L.C.
PRELIMINARY RESULTS FOR THE 52 WEEKS ENDED 28 MARCH 2022
BACK TO PROFITABLE TRADING
|
Financial Highlights
|
2022 |
2021 |
|
|
|
£m |
£m |
|
|
|
|
|
|
|
Revenue |
309.0 |
88.0 |
|
|
|
|
|
|
|
Adjusted operating profit / (loss) (1) (2) |
51.4 |
(33.2) |
|
|
|
|
|
|
|
Adjusted profit / (loss) before tax(1) (2) |
41.8 |
(43.2) |
|
|
|
|
|
|
|
Adjusted EBITDA(1) (2) |
82.5 |
(1.3) |
|
|
|
|
|
|
|
Net debt |
(173.8) |
(248.7) |
|
|
|
|
|
|
|
Net debt to EBITDA(3) |
2.1 |
n/a – |
|
|
|
|
|
|
|
Operating profit / (loss) (1) |
51.7 |
(34.5) |
|
|
|
|
|
|
|
Profit / (loss) before tax from continuing operations |
42.1 |
(44.5) |
|
|
|
|
|
|
|
Profit / (loss) before tax from discontinuing operations |
9.8 |
(0.7)
|
|
|
|
|
|
|
|
Net assets |
699.7 |
645.4 |
|
|
|
|
|
|
|
Net cash generated from operations |
107.0 |
(23.0) |
|
|
|
|
|
|
|
Adjusted basic earnings / (loss) per share(1) (2) |
56.26p |
(66.63)p |
|
|
|
|
|
|
|
Basic earnings / (loss) per share(1) |
58.83p |
(68.23)p |
|
|
|
|
|
|
|
Dividend per share |
18.81p |
– |
|
|
(interim and recommended final) |
|
|
|
|
|
|
|
|
|
Net assets per share(4) |
£11.97 |
£11.04 |
|
|
|
|
|
|
|
(1) The results exclude the impact of 56 sites which formed a majority of the Ram Pub Company and are disclosed as a discontinued operation in the current period. Prior period comparatives have been restated for the application of IFRS 5 to re-present financial information in relation to the discontinued operation (see notes 1 and 7). (2) Reference to an “adjusted” item means that item has been adjusted to exclude a non-underlying credit of £0.3 million (2021: non-underlying costs of £1.3 million) (see note 3 for adjusting items and note 10 for earnings/(loss) per share). (3) Net debt to EBITDA has been calculated based on the last 12 months' actual adjusted EBITDA (see notes 4 for adjusted EBITDA and 15 for net debt). (4) Net assets per share are the group's net assets divided by the shares in issue at the period end. (5) During the financial year, our pubs were fully open for 36 weeks, open with varying degrees of Covid related restrictions for 14 weeks and closed for two weeks. |
|||
PERFORMANCE HIGHLIGHTS
· Total revenue for the period from continuing operations was £309.0 million, up 251.1% against the prior year.
· Despite battling against varying levels of restrictions and Christmas trade being significantly impacted by the Omicron variant, managed house sales were up 2.9% on the two-year (2020) comparative.
· During the year, we invested £73.7 million, including £24.7 million in our existing managed estate and £36.8 million adding nine new pubs, including the acquisition of six pubs and hotels from the Lucky Onion group in February.
· In June, we completed the sale of 56 tenanted businesses for £53.0 million. Our group strategy is now entirely focused on the development of well invested, premium managed pubs and hotels in the south of England.
· Net debt has reduced by £74.9 million to £173.8 million and, with adjusted EBITDA of £82.5 million, net debt to EBITDA is conservative at 2.1 times; Including cash balances this leaves us with £134.0 million of headroom on our committed bank facilities for future investment.
· We are pleased to recommend the reintroduction of a final dividend of 10.26 pence, resulting in a total dividend for the year of 18.81 pence, this compares to 20.78p in respect of the year to 1 April 2019.
· Sales since the period end have performed extremely well, with managed house revenue for the last 13 weeks, against the pre-pandemic levels of 2019, up 17.0% and for the last 5 weeks versus a year ago up 38.5%.
Patrick Dardis, Chief Executive of Young's, commented:
“I would like to thank the teams across the business who have worked so hard to deliver these great results, in another year of extraordinary circumstances. It has been a huge privilege to lead the group for the past six years, culminating in a year when Young's celebrated its 190th birthday. I owe enormous thanks to all my colleagues for their support, contribution and dedication that has made Young's the business it is today. “
” We have found ourselves navigating challenges at nearly every turn, whether it be storms, floods and tube strikes, or the unwelcome arrival of the Omicron variant which hampered our Christmas trading. I am delighted to announce a strong set of results that marks a return to normalised profitability with unrestricted trading towards the end of the year.”
“After a quiet period on the acquisition front last year, we have made some exciting investments. The most significant of these was the acquisition of six pub and hotel assets from the Lucky Onion group in Cheltenham and the Cotswolds in February 2022. These predominantly freehold premium pubs and hotels perfectly complement our existing businesses in the area.”
“It's been a great start to the new financial year, for the last 13 weeks revenue was up 17.0% versus pre-pandemic levels of 2019 and up 38.5% for the last 5 weeks against 2021. The Easter sunshine was a real boost, with some record weeks. We are looking forward to the extended Jubilee weekend where we hope to break more records. Young's are firmly back in business, with the firepower to deliver further growth.”
“Having announced my intention to step down as Chief Executive after six years in the role, I am pleased to hand over the reins to my successor, Simon Dodd and the rest of the executive team, at the coming AGM in July. Simon was recruited three years ago with succession planning in mind, his excellent leadership skills, vision and operational experience will be great assets to Young's.”