Enterprise Inns H1 Profit Falls Amid Costs - Quick Facts

(RTTNews) - Enterprise Inns Plc. (ETI.L) Tuesday said first-half profit after tax was 4 million pounds, compared to 37 million pounds last year, largely due to exceptional costs of 26 million pounds in respect of partial refinancing of 2018 corporate bonds and property charges of £21 million.

Pre-tax profit for the period dropped to 10 million pounds from 47 million pounds.

Profit before tax and exceptional items increased to 57 million pounds from 55 million pounds.

Like-for-like net income growth was 0.6 percent, compared to 1.1 percent growth last year.

Revenue fell to 302 million pounds from 308 million pounds in the prior year.

Enterprise Inns said its trading in the first few weeks of the second half of the year was in line with its expectations. Comparatives in the third quarter are particularly challenging as they include enhanced trading from the FIFA World Cup and the full benefit of the Easter trading period, whereas this year the earlier Easter accrued some benefit to the second quarter.

However, the firm continues to target growth in like-for-like net income for the full year.

Further, the company announced the outcome of a strategic review which it had commenced in April 2014. The company will continue to reinvigorate its tied tenancy business, and will expand its managed business. The firm will build a high quality commercial property portfolio and make disposals where appropriate to optimize returns.