Liberation Group turns £9m. Covid loss into £2.5m. profit
LIBERATION GROUP, the Channel Islands-focused pubs and drinks business, turned a £9m. loss in 2020 into a £2.5m. profit in its trading year to January.
Turnover for the group was up almost 50% at £99.7m., with gross profit, before operating costs were factored in, almost doubled on 2020’s result, at £47m.
A focus on food-led pubs saw continued growth in its UK managed pubs business, which, post-lockdown, saw trading up 18% like-for-like between May 2021 and January 2022, compared to the same period in 2019.
But like-for-like trading in its Channel Islands pubs over the same period was down 12.6%. The group blamed a lack of footfall in the town centres of St Helier and St Peter Port and a decline in tourist numbers for both islands.
CEO Jonathan Lawson said it was a difficult year but also a time of significant progress against priorities set in 2019 and 2020.
‘We have entered 2022 a fitter and stronger business, which is closer and more relevant to its customers and able to look forward and invest into the next few years, despite the obvious headwinds on costs.’
Liberation claimed £4.7m. in Covid support from the Guernsey, Jersey and UK governments in 2021.
The business acquired 21 pubs at the tail end of 2020 and have invested in them and its CI portfolio during the year, including the Houmet Tavern, now The Puffin & Oyster, and Thomas de la Rue. It sold two other pubs for £1m. over the year.
‘We, like others, can see the headwinds picking up and the concern that always goes with declining consumer confidence and pressure on disposable income,’ said Mr Lawson.
‘Our people plan is of crucial importance to drive recruitment and retention with a strong focus on internal development.
‘So, looking forward we are in good shape, with robust plans and quality teams to execute our strategy, and are maintaining our strong investment plans for the year ahead to ensure that we continue to deliver the best experience possible for our customers.’
Liberation Group at a glance
56 managed pubs
62 tenanted pubs
62% of sales in the Channel Islands; 38% in the UK
1,321 staff employed across the group
Managed sales split: 46% drinks, 45% food, 9% rooms
