RedCat Hospitality has reported strong trading for the first quarter of the year, as business was boosted by its accommodation business which “continues to perform very strongly”.
Despite “challenging headwinds”, like-for-like sales over the period rose by 6.7% to £32.7m, as Coaching Inn Group sales rose by 7% to £19.1m, while RedCat Independent Pubs sales rose by 6.2% to £13.6m.
Overall, total accommodation sales reached £9.5m in Q1, as Coaching Inn Group accommodation sales hit £7.9m, marking a like-for-like rise of 9.4%.
The group also highlighted the success of its capital investment programme in the first quarter. Since reopening in April, following an extensive £3m refurbishment, the 42-room Castle of Brecon Hotel in Powys reported a 94% uplift in overall sales.
RedCat said this mirrors strong results seen at other sites, which have benefited from the investment programme in RedCat Independent Pubs over the past 12 months, including The Bull in Barton Mills, The Wig and Mitre in Lincoln and The Crown Inn, The Curzon Arms and The Langton Arms in the Leicestershire area, which together posted a 20.3% increase in like-for-like sales.
RedCat Hospitality CEO, Richard Lewis said: “We are very encouraged by this start to the financial year; the hard work we have undertaken in the past 14-months to invest in and strengthen the business is really paying off, as these latest figures show.
“The accommodation side of the business continues to perform very strongly, reflecting our strategic focus and investment in growth and revenue management. By strengthening resources and expertise in this area, we are seeing clear rewards: room sales are up +8% on a like-for-like basis, across the whole group.”
He added: “I am very pleased to be reporting these positive results for our business. They are a testament to the hard work from our team in helping deliver such a stellar performance.”
