Village Hotels’ profit halved as 450 jobs created ahead of takeover
Village Hotels added more than 450 jobs but saw its pre-tax profit slashed in half in 2023 ahead of it being acquired by Blackstone, it has been revealed.
The Warrington-headquartered chain increased its average headcount from 4,340 to 4,794 in its latest financial year, according to newly-filed documents with Companies House.
Its turnover also rose from £227.6m to £260.8m but its pre-tax profit was cut from £17.8m to £8.8m over the same period.
The increase in Village Hotels’ headcount comes after it created almost 1,000 jobs 2022, having cut 870 roles in 2021 because of the Covid-19 pandemic.
The results come after funds managed by Blackstone snapped up the company from affiliates of KSL Capital Partners for an undisclosed sum in June 2024.
Village Hotels owns and operates 33 sites across the UK and had been put up for auction in February.
The deal for Village Hotels comes after Blackstone acquired Bourne Leisure in 2021, the owner of Haven Holiday Parks, and Warner Hotels.
‘Strong year’ for Village Hotels
A statement signed off by the board said: “The group had a strong year in 2023 which was particularly impressive given the wider economic context of escalating inflation and the impact this continues to have on [the] cost of living for consumers.
“In relation to its hotel rooms performance, revenue increased compared to 2022 by 14 per cent driven by public bookings and an increase in corporate customers.
“Both occupancy and the average daily rate exceeded the prior year, with a strong uplift in its mid-week performance.
“Due to the stretch of the other rooms sectors, promotional rooms business was lower than in 2022, however given the lower margins of this business this was a result of strategic prioritisation of the more profitable room segments.
“Notwithstanding, the average rate of these rooms was also slightly ahead of 2022 levels.