Profits rise at Butcombe

Pre-tax profit for the company was £1.306m (2010: £1.301m). Operating profit declined 2.2% to £1.57m.

The company bought its 17th pub, the Cottage in Bristol’s Cottage Wharf, in November 2010.

Managing director Guy Newell attributed the rise in pre-tax profits and turnover to the addition of new product lines and not being tempted to discount.

“Obviously there is pressure on margins. If we get everything else right we don’t necessarily have to be the cheapest,” he said.
In April 2011 the company bought three pubs from local operator Triple Rock for an undisclosed sum. These are expected to add around £3m in sales each year.

He described trading in the first half of this year as “the best half-year we’ve had”.

On the prospect of adding more sites, Newell said: “If a gem or gems come up we would be interested, but we’ve got quite a lot on.
“I would be surprised if we buy more during this financial year.”

Somerset-based brewer and pub operator Butcombe saw a slight rise in pre-tax profit in the year to 28 February 2011 after turnover increased by more than £1m.

Pre-tax profit for the company was £1.306m (2010: £1.301m). Operating profit declined 2.2% to £1.57m.

The company bought its 17th pub, the Cottage in Bristol’s Cottage Wharf, in November 2010.

Managing director Guy Newell attributed the rise in pre-tax profits and turnover to the addition of new product lines and not being tempted to discount.

“Obviously there is pressure on margins. If we get everything else right we don’t necessarily have to be the cheapest,” he said.
In April 2011 the company bought three pubs from local operator Triple Rock for an undisclosed sum. These are expected to add around £3m in sales each year.

He described trading in the first half of this year as “the best half-year we’ve had”.

On the prospect of adding more sites, Newell said: “If a gem or gems come up we would be interested, but we’ve got quite a lot on.
“I would be surprised if we buy more during this financial year.”