Spirit has reported its Unaudited Interim Results for the 28 weeks to 7 March 2015, showing good progress for its portfolio of 1,211 Managed and Leased pubs nationwide: EBITDA up 5%; profit before tax and Earnings per Share both up 12%.
Mike Tye, Chief Executive Officer, commented:
“We are pleased to report another strong half year performance at Spirit. Our results reflect the success of our proven, clear and consistent strategy, which continues to deliver value for all our stakeholders. We have made good operational and financial progress across both our Managed and Leased divisions, which have outperformed their respective markets and our expectations. Our consistent focus on investing in our estate, our brands and our people gives us a strong platform for future growth.
“Over the past few years we have fundamentally transformed the business, and while the market remains highly competitive, we have continued to gain market share and see significant further opportunity ahead. None of this would have been possible without the support of all of our team members and I would like to thank them for their continued focus and hard work during this period of uncertainty.”
Group Financial Performance
| £m unless stated otherwise | 28 weeks to 7 March 2015 | 28 weeks to 1 March 2014 | Change | |
| EBITDA | 77 | 74 | +5% | |
| Profit before tax | 25 | 22 | +12% | |
| Earnings per share | 2.9p | 2.6p | +12% | |
| Nominal value of net debt | 649 | 726 | -11% | |
| Net debt to EBITDA | 4.0 times | 4.7 times | 0.7 times |
Statutory Results (including exceptional items)
- EBITDA of £71m (2014: £60m)
- Profit before tax of £3m (2014: £1m)
- Net exceptional pre-tax costs of £21m (2014: £22m)
- Basic earnings per share of 0.6p (2014: earnings per share of 0.2p)
Highlights
- Managed division performance strengthened by acquisitions
- Like for like sales up 1.5%; total net sales up 4.5%
- EBITDAR margin up 60 basis points
- Leased division remains in growth
- Like for like net income up 2.3%
- Divisional EBITDAR up 1.1%
- Quality of the estate improved through investment and disposals
- Seven pubs acquired in the period, £34m invested in the estate
- Cash return on investments significantly in excess of 25% target
About Spirit
Spirit Pub Company plc is a leading pub company in the UK with 1,211 Managed and Leased pubs nationwide. It was formed in August 2011 following demerger from Punch Taverns plc.
The Managed business is a high quality, well located estate of 791 pubs with attractive exposure to London and the South East and areas with high population densities. The business operates a portfolio of market leading brands including Chef & Brewer, Fayre & Square, Flaming Grill, Taylor Walker and John Barras.
The Leased estate of 420 pubs is one of the highest quality in the UK. These well located pubs, the majority of which were formerly Managed sites, have an average annual net income of over £100,000.
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