Enterprise Inns serves up results in line with last year

Pub owner Enterprise Inns announced its results for the year to 30 September on Tuesday, with EBITDA before exceptional items of £292m, down slightly from £296m a year earlier, which was in line with expectations and reflecting the impact of planned disposals.

The company’s profit before tax and exceptional items was £122m, in line with the prior year, as interest savings from reduced debt offset reduction in EBITDA.

Profit after tax was £71m, swinging from a £65m loss last year, which the board said was primarily due to lower exceptional refinancing costs and lower property charges arising from the annual estate valuation.

Enterprise’s estate valuation increased by 0.1%, compared to a 2.7% fall last year.

Adjusted earnings per share were up to 19.6p, from 19.4p, and net debt was reduced to £2.2bn from £2.3bn.

“We are pleased to have delivered our financial objectives for the year, maintaining the growth momentum in our leased and tenanted business, while making significant progress in building our commercial property portfolio and managed operations and investments businesses,” said CEO Simon Townsend.

“Our plan to transform the group to best serve our publicans and their communities whilst maximising returns from each of our assets remains on track.”

Townsend said whilst there is the potential for some economic uncertainty in the months ahead, trading in the first six weeks of the new financial year had been in line with expectations and the board was confident that the actions it was taking to execute its strategic plans were the most appropriate response to changes in the regulatory and economic environment.

“Our proactive management of debt refinancing and our returns-driven approach to allocating excess cash will deliver both near and long-term benefits to all our stakeholders.”