Amber Taverns reports 70% revenue increase, earmarks 16 new openings
The value-focused pubco, which operates 165 wet-led pubs across the UK, reported sales of £95.7m in the 53 weeks to 5 February 2023, compared with £56.2m in 2022.
In addition, its earnings before interest, taxes, depreciation, and amortization (EBITDA) stood at £22.5m, up from £14.2m last year, with an operating profit of £15.8m compared with £14.2m during the same period last year.
Amber Taverns chief executive James Baer said: “We are pleased to have delivered such a strong trading performance underpinning our belief that our numbers continue to demonstrate the resilience of our model and the importance local communities place on having a welcoming, well invested and good value pub at their heart.
“This is not discretionary spend on the part of our customers but more of an essential part of their daily lives.
Positive catalysts
“Demand continues to build and we are looking forward to the coming month with a packed calendar of sporting fixtures and other key trading occasions.”
The firm stated trading gradually gathered “momentum” as pubs returned to normal trading conditions post Omicron with demand “recovering strongly” during the summer and early autumn with key trading events such as also Christmas proving “positive catalysts” for trade.
Moreover, the group said it had “successfully avoided” many of the worst inflationary cost pressures over the last year through “management action”.
Additionally, the trading update noted drinking habits “evolved” during the pandemic, with a move to more premium drinks such as continental lagers and cocktails, but that demand for core value session drinks has continued to “remain strong”.
The Group also had its estate valued during H1 2022 and based on the result in June 2022, the directors believe the “fair value of the estate” as of February this year stood at £219.1m, up from £198.4m in 2022.
Expansion opportunities
Amber Taverns opened multiple new sites during this period, including the Lumley in Skegness, which opened in April 2023, as well as the Water House in Durham, the Leopard in Cheshire and the Northern Way in Irvine, all of which opened in June and are all “trading well”.
In addition, two new sites were acquired in July and are currently under refurbishment in North Shields, Tyneside and Bellshill in Lanarkshire, ahead of opening in the Autumn.
The Company sold three non-core sites in Morecambe in March 2023, Blyth in July 2023 and Plungington in August 2023 .
Baer added: “We have an exciting pipeline of potential new sites with lots of exciting expansion opportunities ahead to continue our track of success as we continue to bring Amber’s hospitality with the right offer, in the right locations, at a great value price point to our increasing number of loyal customers up and down the country.”
