Franchise firm sees profits soar by 17 per cent in last 12 months

A franchise firm which is based in Cheshire saw its profits increase by 17 per cent last year.

Macclesfield firm Franchise Brands announced its full year results this morning.

Revenue increased by 24% to £44m and statutory profit after tax increased by 17% to £2.7m.

Operational highlights included the acquisition of Willow Pumps and integration into the group to create a business-to-business (“B2B”) division with Metro Rod and Metro Plumb.

There was also the creation of a business-to-consumer (“B2C”) division, under one management team, to facilitate future acquisitions and maximise overhead efficiency.

Stephen Hemsley, executive chairman, said: “2019 has seen us successfully build the business both organically and by acquisition, with an acceleration in system sales growth at Metro Rod and Metro Plumb, and a recovery in franchise recruitment in the newly formed B2C division, complemented by the acquisition of Willow Pumps which has expanded Metro Rod’s range of services.

“Trading in 2020 has started well, with job intake at Metro Rod, Metro Plumb and Willow Pumps up on the same period in 2019 and a strong start to the year for franchisee recruitment in the B2C division.

“Whilst we have not yet seen any impact from the Covid-19 virus, we will continue to monitor the situation over the coming weeks. We have put in place plans which seek to mitigate any impact that the virus may have on our employees, franchisees, customers and suppliers.

“Overall, we look forward to 2020 with considerable confidence given the Group’s strong start to the current year and the clear opportunities for growth we see across both our B2B and B2C divisions, particularly as we increasingly realise the benefits of our Vision 2023 strategy and our investment in new capabilities, capacity and a broader range of services at Metro Rod.”