16/07/2024 10:04:00
May's GDP boost was a welcome indication the economy is returning to sustained growth but Government action is needed to unlock the hospitality sector's full potential, say Morning Advertiser. The latest Gross Domestic Product (GDP) monthly estimates from the Office for National Statistics (ONS), released last week, showed the economy expanded by 0.4% in May, rebounding from zero growth in April. In the three months to May 2024, the economy grew by 0.9% compared with the previous three months, which the ONS said was the strongest three-monthly growth since January 2022.
Mission Mars has reported £71.1m in group revenue for the 12 month period ending 23 September 2023, equating to a 51% jump in growth. The Caterer says that the operator, which owns Albert's Schloss and Rudy's Pizza Napoletana, also reported group adjusted EBITDA for the period of £8.7m, compared to £5.2m in 2022. Revenue for Albert's Schloss stood at £32.3m, up from £21.6m in 2022, while Rudy's pizza delivered £29.3m, up from £16.1m in 2022. Numbers for the current financial year also looked strong, with half-year trading standing at record levels for Albert's Schloss (£18.9m) and Rudy's (£19.9m) and like-for-like performance standing at 5% and 17% respectively. The company said Q3 is trading with similar levels of growth.
The chairman of J D Wetherspoon has revealed detailed cost analysis in the pub company's latest financial results. In it pre-close trading update, Wetherspoon posted a like-for-like sales increase of 5.8% in the 10 weeks to 7 July 2024, compared to the same period last year, reports Pub & Bar. Its year-to-date like-for-like sales increased by 7.7%. Tim Martin, chairman and founder of the company, took the update as an opportunity to showcase the cost increases Wetherspoon has absorbed over the past few years. "Sales per pub are approximately 21% higher than pre-pandemic levels, which has helped to compensate for the very substantial increase in costs," he says. "For example, compared to the 2019 financial year, labour in this financial year has increased by approximately £164m, energy by £28m, repairs (also affected by labour costs) by £38m and interest (excluding IFRS 16 interest) by £16m." The company estimates that net debt will be approximately £670m at the financial year end. On 6 June 2024, Wetherspoon signed a new four-year £840m banking agreement on what it called "attractive terms".
The Crown Estate will redevelop £430m worth of real estate in London's West End in an effort to stimulate the capital's post-pandemic renewal, reports City AM. The three buildings chosen for the project have been empty for decades but the Crown Estate's redevelopment plan will see them become workspaces, retail and hospitality areas. Over 250,000sq ft are set to be redeveloped while the Crown Estate has pledged to retain more than 90 per cent of the original structures and facades of 10 Spring Gardens and New Zealand House. Construction on the three developments in London's West End, which have a collective value of £430m, has already begun.
Food market Mercato Metropolitano has finally opened its long-awaited Ilford site nearly four years after plans for it were first announced. Located in the heart of the area's Cultural Quarter, the market is Mercato Metropolitano's fifth London site, joining its venues in Wood Wharf, Mayfair, Elephant & Castle, and Elephant Park, advises the Restaurant. Traders at the market include Latin street food brand Afuego Burger, run by food entrepreneur Yassir Chair; Injera Hub, a family-owned business serving authentic Ethiopian and Eritrean meals from their family cookbook; and gelateria Badiani. The Ilford site was announced back in 2019 as part of Redbridge Council's Ilford for All Manifesto, which helped to secure a grant for the project.
The White House in Grandpont, Oxford, is the latest pub to join the growing estate of the Dodo Pub Co. Its fourth pub in the city brings the Dodo portfolio to nine venues in total, with the well-known pub on Abingdon Road set for a new identity that will pay homage to its architect Henry Hare, who is also responsible for designing The Oxford Town Hall, advises Pub & Bar. Reopening early September, the free-of-tie pub will be renamed The Slow & Steady. The operator has plans for 15 beers on tap.
Market Taverns plans further acquisitions. The London pub business continued to rebuild trade after the pandemic with record turnover in 2023, and is actively looking for new sites to add to its estate, says MCA.