South West brewery and pub group Liberation has reported “record” sales for the financial year, boosted by the expansion of its accommodation business.
The Jersey-headquartered parent firm of West Country brand Butcombe said total group revenues were £144.4m for the year ended January 27 - a jump of 20% compared to the same period last year.
The group said its like-for-like managed pub EBITDA - a form of profit - had also increased 19% despite a “particularly challenging” inflation and cost environment.
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However, Liberation said the national minimum wage increase in the 海角视频 and Channel Islands had presented “ongoing pressure” on payroll. The group attributed its recruitment programme, focusing on hiring South African chefs and managers, to reducing costs and improving vacancy rates.
Jonathan Lawson, chief executive of Liberation Group, said: “2023 was a standout year for Liberation Group as we delivered a year of record sales with growth across all of our divisions.
"It is particularly satisfying to see the way that mature parts of our business continue to grow such as our managed estate, tenancy and Butcombe drinks, whilst also seeing newer elements coming through strongly, such as accommodation.”
Liberation, which has grown its accommodation business from 10 rooms to 400 since 2016, said it had the potential to expand its estate to 700 rooms. The company recently launched Butcombe Boutique Inns - a move it described as an "exciting step" for the business.
The first inn to become part of the Butcombe offering was The George in Norton St Phillips, Somerset. Liberation said it was planning to "steadily roll out" the concept across more sites.
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The group's strategy of prioritising accommodation has stimulated growth in food and drink sales over the financial year. Occupancy in the new pubs is 19% points ahead of last year, the business said, and like-for-like sales on food is up 18.8% for the first quarter.
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“Looking forward, we remain optimistic for the year ahead as we start to see a calmer cost environment and are excited by the plans that we have for growing the existing business,” added Mr Lawson.
In February, Liberation announced two changes to its senior leadership team. The company said the appointments would help drive growth and performance across the business.