Latest / Hospitality News Briefing / Tuesday 13 October: The Adil Group becomes KFC's largest UK partner with 22-site acquisition
Transcript
- Good morning. This is the Hospitality News Briefing, from Ops Club. Episode eighteen, Tuesday the thirteenth of October. Here is what the UK trade press reported this morning, collated for operators. The Adil Group has become the largest KFC partner in the U K and Ireland after a twenty two site acquisition, as Neos Hospitality enters a new growth phase following a doubling of its group profits. Starting with the numbers, Neos Hospitality has moved into what it calls an accelerated growth phase. Propel reports that the group saw revenue jump fifteen per cent to forty five point seven million pounds for twenty twenty five. The business now operates forty sites. Venue profits surged by one hundred and thirty three per cent to nine point eight million pounds. This followed heavy investment in rebrands and conversions. The group plans three more rebrands before the end of the year. It shows that repositioning an estate can improve conversion rates even in a tough climate. Also in Propel, Simmons Bakery has managed to maintain its margins despite inflationary pressure. Turnover at the forty four site brand rose five per cent to thirty four point nine million pounds for the year to March twenty twenty six. Pre tax profits held steady at five point two million pounds. The business put two point three million pounds back into its estate and vehicles. It finished the period with thirteen point seven million pounds in net assets. Propel has four more quick updates on trading. Domino's franchisee Palico saw turnover hit one hundred and fifteen point seven million pounds in twenty twenty five. Pre tax profit rose slightly to three point four million pounds. Powerleague saw profits climb nearly nine per cent to seven point seven million pounds. New padel court installations contributed one point eight million pounds in extra revenue. Zetland Capital narrowed its hotel losses to one point two million pounds. Turnover rose to twenty five million pounds helped by a seventy million pound refinancing deal. Finally, Eden Hotel Collection says late bookings are becoming the norm. Customers now expect total flexibility and last minute cancellations. On to who is buying what. The Adil Group now has one hundred and thirty five sites after its twenty two restaurant deal with KFC. Propel reports the acquisition of First Rate makes them the largest KFC franchisee in the country. The sites are spread across Manchester, Liverpool, and North Wales. The group wants to grow its KFC portfolio by another twenty per cent over the next five years. KFC predicts the U K chicken market will be worth six billion pounds by twenty thirty five. Over at Chestnut, the East Anglian pub group has restructured its balance sheet. The Morning Advertiser reports the group converted thirteen million pounds of loan notes into equity. They also raised a further four million pounds to stabilise finances after rapid expansion. C E O Philip Turner says the group is now more robust. They'll focus on the existing estate rather than new acquisitions in twenty twenty six. Elsewhere in investment, Rocket Padel has secured six point eight million pounds for two new London sites, according to Propel. Also in Propel, True Pub Company director Gerard Flynn has bought two sites and a freehold in Hammersmith for a new guesthouse. In a pre pack deal reported by Langton Capital, Lucky Voice has been sold to the Swedish group Moyagi. Three London sites will stay open while three others close due to rising costs. There are several new openings and closures to note. The Caterer reports that Daniel Craig is opening The Horseshoe in Clerkenwell with Nick Jones. Propel reports that Bread Ahead is making its regional debut in Harpenden, and Flight Club has confirmed an Exeter launch for December. According to Restaurant Online, Stack Wigan will open in a former Debenhams with six food traders. Propel also reports that Merchant Pubs and Bars has reopened a Glasgow BrewDog site as Ninety Nine Hutcheson Street, while Kibou has opened a large restaurant in Birmingham. Finally, Langton Capital reports that GlenWyvis Distillery has entered administration and stopped production. A few people moves this morning from Propel. Pasta Evangelists has named Nicola Saraceno as C E O. Popeyes U K has appointed David Padbury as franchise director, and Maslow's has hired Barzin Javanshiri as chief executive. Joe and the Juice has a new U K finance director in Mark O'Mahoney. The Caterer reports Wilson Vale has appointed Rodney Payne as managing director. Back to Propel, Iconic Hotels and Resorts has hired Michelle Walder as group director of operations, and Isobel Childs has stepped down from Black Sheep Coffee. Looking at the bigger picture for the market, City A M reports that the I M F expects U K inflation to stay above target until twenty twenty seven. It's forecast to average three point three per cent in twenty twenty six. While growth is forecast at one point three per cent, the environment of higher interest rates will continue to squeeze margins. Also in City A M, retail sales growth slowed to one point three per cent as shoppers hold back before the Budget. Langton Capital reports that the ten year gilt yield, which is what it costs the government to borrow for a decade, dipped slightly to five point four one per cent. They also note that drinks sales fell one point one per cent in the two weeks to the third of October. To finish, a couple of notes on government policy. Langton Capital reports the government has ruled out new warehouse taxes in the upcoming Budget. The full rundown is at ops dash club dot com, where every story links back to the publication that reported it. Today's pulled from Propel Hospitality Info, The Morning Advertiser, Langton Capital, The Caterer, Restaurant Online and City AM - a signpost to their reporting, not a replacement for it. Scripted and read by AI and published without a human check, so check the original before you act on anything. For longer conversations with the people running the sector, find the Hospitality Ops Club podcast. That is your briefing. Have a great day.