Group turnover for 52-week period ended 28 May 2023 is £182.0m (FY22: £154.3m), EBITDA (earnings before interest, taxation, depreciation and amortisation) is £55.8m (FY22: £48.4m) while the pub operator’s property is valued at £560.7m.
Other highlights included “good progress in our strategy to develop and maintain a high-quality estate of successful, individual, wet-led community pubs at the heart of their communities” with strong underlying trading across the estate of c.1,500 pubs, which is ahead of expectations.
There was a notably strong performance in its Proper Pubs division, which is a community wet-led operator model comprising 177 pubs.
It’s EBITDA of £55.8m reflected “robust growth across first half of FY23” with the second half impacted by faltering economy, inflationary pressure and the energy crisis.
Capex to continue in FY24
Admiral has invested £27.7m in capex during the period with further investment planned for FY24 to improve retail offer of tenanted and operator managed pubs. Some 96% of the pub estate is freehold or long leasehold with greater than 50 years remaining.
It has also completed the integration of Hawthorn Community Pub Company following the acquisition in August 2021.
The business has continued progress in its sustainability strategy, which was launched in 2021. And has raised £100,000 across its estate for national charity partner Chasing the Stigma – a charity dedicated to normalising the subject of mental health and ensuring everyone can find essential support when they need it most.
Working in partnership with Technik2 it has installed energy-saving equipment in cellars and behind bars in more than 750 pubs as part of a £1.0m investment to date and helped deliver savings of up to £5,000 per pub at no cost to licensees, which Admiral claimed is a first for a leased and tenanted business.
Wet-led pubs’ resilience
Admiral Taverns chief executive Chris Jowsey said: “We are delighted to see strong trading during the 12-month period, underpinned by our highly supportive strategy to help our licensees serve their communities and grow their business.
“Our focus has been on ensuring investment in robust trading while successfully integrating the pubs and operations from the Hawthorn acquisition and assisting licensees navigate the challenging financial environment presented by high inflation and a volatile economic outlook for the UK.
“The current economic environment creates a challenging backdrop for our publicans, but our community based, wet-led pubs continue to demonstrate their resilience, and are well situated within their communities to provide affordable hospitality.
“As we look to the future, we continue to focus on our strategic plans to acquire, develop and maintain a high-quality estate of successful, individual wet-led community pubs at the heart of their communities.
“We remain optimistic that our supportive ethos, and high-quality estate of pubs puts us in a good position to trade through this challenging macroeconomic environment and continue to make progress against our long-term strategy.”