The results reflect strong trading across both the Heartwood Inns pub portfolio and Brasserie Blanc restaurants, as well as continued rollout of the group’s premium, freehold-led growth strategy.
Four new pubs were opened during the year, including the group’s first with rooms, as part of a wider push into accommodation.
Gross margin held firm at 73.3%, while Christmas trading stood out, with 21 sites recording record sales days and over 198,000 guests dining across the estate in December.
Post-tax loss
However, the group posted a £15m post-tax loss, largely driven by £13.2m in financing costs and £6.7m in central overheads.
Heartwood invested £49m over the period – £27m on 11 new freeholds and £22m on capex and maintenance – funded via £26m in bank debt and £27m in shareholder funding.
Executive chairman Mark Derry praised the group’s resilience in the face of high interest rates, wage inflation and volatile energy costs.
Excellent opportunities
“Thankfully, Heartwood remains one of very few businesses in the sector to continue to invest as others cut back,” he said. “This has presented us with a number of excellent property opportunities in anticipation of a much-improved economic environment in the future.”
The White Horse in Dorking marked the group’s debut in accommodation, following a significant refurbishment. Five further pubs with rooms are now trading, with a total of 196 bedrooms across the estate and more due to open later this year.
Director Henry Olney paid tribute to the business’s success in the wider sector: “The company is rightfully gaining a reputation as one of the strongest in the market, as reflected in our 2024 Publican Awards wins of Best Managed Pub Group (2-50 sites) and Best Pub Operations Team.”
