Restructuring pays off for Hydes
HYDES, the family-owned North West brewer which has moved from Moss Side to Salford, said a decision to restructure had paid off with growth in revenues and earnings.
In late 2012 Hydes moved from its old Moss Side home to a state-of-the-art facility near MediaCityUK. It also sold its free trade business to Thwaites and has focused on rejuvenating its estate of 60 pubs, with 25 managed.
In the year to the end of March turnover grew by 9.4% to £18.5m and operating profit by 25% to £1.77m. Trading in the six months since then has continued in the same vein.
In a statement Hydes said: “The results represent good progress in delivering the cost savings related to the restructure and the trading benefits of increased focus on core activities.”
Hydes said turnover growth was mainly down to managed house refurbishments and the conversion of selected sites from tenanted to managed. There were no new acquisitions during the year.
It carried out major refurbishments at the Jolly Thresher, Lymm; The Fletcher Moss, Didsbury; the Coach and Four, Wilmslow; and the Pack Horse, Affetside. The Crown in Cheadle, the Grey Horse in Central Manchester and the Bulls Head in Lymm moved from tenanted to managed pubs during the period.
The group said it plans to continue to develop its estate and is still looking to buy “good quality pub sites in areas with strong demographics and high disposable income”. It has acquired three since the year end but it did not say where. However, it has started work on the conversion of five buildings in Manchester’s Northern Quarter on the corner of Turner Street and Red Lion Street, opposite the Solita restaurant, into a large gastro pub with 14 hotel rooms.
Managing Director Chris Hopkins said: “This was a very encouraging year for the business following the major changes that were implemented in 2012. Those changes were designed to streamline the company and prepare Hydes for the future.
“The performance in the last financial year endorses the difficult decisions that were taken. We now have clear plans in place and a strong management team to deliver them.”
