Hydes Brewery reports £1.3m loss

By Ewan Turney

- Last updated on GMT

Related tags Hydes

Hydes: tough year
Hydes: tough year
Manchester brewer and operator Hydes has reported a 29% slump in profits for the year ended 29 March 2009, resulting in a loss of £1.3m. The...

Manchester brewer and operator Hydes has reported a 29% slump in profits for the year ended 29 March 2009, resulting in a loss of £1.3m.

The brewer, which runs 74 managed and tenanted pubs, took a hit of £369,000 arising from accounting irregularities the previous year, which had an "adverse impact" on its operating profit in the tenanted estate.

"These irregularities resulted in the company seeking substantial debt repayments from a dozen or so tenants at a time when the economic downturn was accelerating," said it said.

"Many tenants, unable to repay the debt, handed back the keys and the company has faced the challenge of recruiting new tenants at a ver difficult time.

"Much management time has had to be devoted to this issue, time which would have otherwise have been spent addressing the most challenging conditions the industry has faced in a generation."

Profits from its managed houses fell 14% after incurring losses of £138,000 resulting from temporary management at eight tenanted pubs.

Profits at its 59 tenanted pubs dropped 14.6% to £2.49m but it said it was offering extra discounts for "deserving" tenants.

The value of its pubs was written down £1.02m over the period. Overall sales did increase from £21.4m to £22.8m.

Related topics Beer Legislation

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