The increase came as draught beer sales rose and Landlord retained its position as the UK’s biggest selling cask ale brand.
The Keighley brewer and pub operator saw turnover rise 2.1% from £35m to £35.7m, while profit before tax increased from £2.68m to £2.99m.
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The business said draught beer sales rose in both value and volume terms during the year, with Landlord remaining the largest selling cask ale brand in the UK by value and volume.
Timothy Taylor’s wider brand portfolio also continued to grow its share of the cask ale category.
The results follow The Morning Advertiser’s (MA) Drinks List, published in December, which named Landlord the best selling cask ale in UK pubs and bars, ahead of Sharp’s Doom Bar.
- You can access the Drinks List here, for free
Brewery investment
The company said it had continued to invest in its people, brewery and business infrastructure during the year, while also absorbing higher employment tax and regulatory costs.
People related costs rose by £0.5m, with increased resources focused on in house engineering, sales and marketing to support rising demand for its beer.
The business invested £5.2m during the year, including £3.8m in the brewery. The remaining spend was invested in the pub estate and distribution fleet.
The investment forms part of a five year brewery programme expected to cost £9.1m by completion.
The company said its long term strategy was focused on investing in the brewery, beer brands, employees and business processes, while building a premium position and increasing market share in cask ale.
It said cask ale remained a “key differentiator” for the pub sector, despite the category facing a challenging market in recent years.
Pub estate
Timothy Taylor’s pub estate, made up of two managed pubs and 17 tenanted pubs, delivered a mixed performance.
The Woolly Sheep in Skipton, the company’s larger managed pub, achieved record sales and profits following a major refurbishment and extension of its trading space.
However, underlying income from the tenanted estate was behind the previous year, with higher business rates, changes to national insurance and increases in the national living wage putting pressure on business partners.
The company said it had provided commercial support to several tenants to help maintain the viability of their pubs.
Timothy Taylor said the wider pub sector continued to face significant input and employment cost increases, alongside weak consumer confidence.
The company said the Government’s actions were “not supportive” of continued investment in the growth of the business.
