Marston's announces senior executive changes
Marston's, the Midlands brewer and pub operator, announced today a slimmed down executive board from October next year - from five to three personnel - and a swapping of roles at the top of the company.
The exchanges will see the retirement of Derek Andrew, managing director of Marston's Inns & Taverns, its managed pub business. Andrew, who has been with the group for 30 years, will be retained as an external consultant to help drive Marston's' new-acquisition programme.
The job of running Marston's Inns & Taverns will go to Peter Dalzell, operations director of the group's tenanted and leased business, Marston's Pub Company
Alistair Darby, head of Marston's Pub Company, is set to become the group's chief operating officer, while Stephen Oliver, managing director of Marston's Beer Company, will also run the tenanted and leased business.
Ralph Findlay's role as chief executive remains unchanged.
The moves come as the group said it had learned the lessons of shared best practice across its businesses and had responded to customer needs. Its Retail Agreements, currently aimed at reviving tenanted outlets, would come under the umbrella of the managed operation next year, it added.
"By 2013 we plan to have at least 600 pubs under the Retail Agreement," said Findlay. By that year Marston's pub estate should comprise around 500 managed pubs and 1,000 leased sites, he added.
News of the management changes came as the group reported annual profits for the year to October 2, 2010, up nearly five per cent at £73.5m on turnover of £650.7m, up 0.9 per cent.
Marston's said its managed pub like-for-like sales rose 1.7 per cent, with operating margins up one per cent and average profit per pub up 10 per cent.
On the tenanted side, operating profits were down nearly four per cent but trends were said to be "improving".
The group's brewing arm saw sales up 4.5 per cent, with operating profits up 1.3 per cent.
Basic earnings per share before exceptionals fell 25 per cent to 10p, but the group paid out a final dividend of 3.7p, level with last year. Net debt fell £17.1m to £1.1bn.
Marston's said it was on track to open 20 new-build pubs next year after opening 15 in 2010.
Current trading had seen managed pub like-for-like sales up three per cent in the eight weeks to November 27, 2010, while tenanted and leased pub like-for-like profits were down 1.5 per cent.
Ralph Findlay, Marston's chief executive, said the group had adapted well to market conditions and trends.
"We are benefiting from our focused, differentiated strategy as demonstrated by our robust results in 2010 and a strong start to the new financial year. Our plans are affordable, deliverable, and target sustainable growth and strong returns in the future.''
