Young’s swings to a loss in ‘toughest period’ of 189-year history
Pub chain Young’s swung to a loss in what it called one of the “toughest years” in its 189 years of trading, but said it has the resilience to survive the coronavirus crisis.
The company this morning said it has the resources and funds to “see through the very worst that this pandemic can throw its way”.
Young’s posted a loss before tax of £21.8m for the 26 weeks ended 28 September, compared to profit of £24.3m last year.
Revenue plunged from £168.2m in 2019 to £55.1m this year due to the impact of the enforced four-month closure during the first nationwide coronavirus lockdown.
However, Young’s said the appetite to visit its pubs is “huge”, with pent up demand for cancelled weddings and parties.
The firm reached 80 per cent of normal trade when pubs reopened in July, despite coronavirus restrictions.
Meanwhile, rural pubs and hotels – particularly in the South West and coastal destinations – reported like-for-like growth on last year due to a surge in staycations and weekend visitors.
The pub chain said it is excited about the new financial year, and is set to benefit from acquisitions it has made and investment in its pubs, hotels and outdoor space.
Young’s chief executive Patrick Dardis said: ““Our business recently celebrated 189 years and the last six months has been one of the toughest periods in that incredible journey.
The resilience of our customers has truly amazed us. The cautious approach we adopted and the safe environment we provided were key reasons why our customers flocked back in large numbers.
“The continued efforts of our pub staff to go above and beyond in protecting our customers in these challenging conditions is a testament to our wonderful people.”
Dardis added: “Whilst we were hoping that a further lockdown could have been avoided, the second lockdown with the financial support available from the Government will be considerably less damaging to our business than the potential move to Tier 3 in the areas that we operate. We remain positive at the prospect of trading in December.”