Profits rocket at Britannia Hotels
BRITANNIA Hotels, the privately-owned group which owns 51 properties across the country, has reported a surge in profits.
The Hale, South Manchester-based group, whose portfolio includes the Norbreck Castle and Grand Metropole in Blackpool, Liverpool’s Adelphi Hotel and a number of sites in and around Manchester including the Britannia on Portland Street, said turnover in the year to March 31 had climbed from £73.3m to £79m, while profits rocketed from £2.6m to £14.2m.
Britannia, which in June bought the Grade II listed Palace Hotel in Buxton, said it had successfully controlled costs (down 7%) during the year to boost its bottom-line. The accounts also reveal a fall in interest costs, from £3.2m in 2014 to £963,000 this year.
Net assets rose from £44.m to £47.7m.
The company, one of the largest privately-owned hotel operators in the country, is in the throes of selling its landmark London Road Fire Station site in Manchester after a long-running row with Manchester City Council over lack of progress in redevelopment, employs more than 1,800 people.
It has also faced some criticism from consumers over the quality of its facilities- a survey by Which? named it the worst operator in the UK this year.
Possibly referring to this, the directors say in their strategic report: “The directors recognise that the environment of increased competition in the UK hotel industry has placed additional demands on the business.
“In order to sustain and enhance our position in the market we have endeavoured to improve the standard of our product both in terms of facilities and levels of service… We are confident that the business is well placed in order to meet the challenges.”
