Over 50s create record rise for Shearings
Shearings Group carried a record 1.1m (+2%) passengers last year, which it attributed to continuing demand from its over 50s market. Total revenues increased 3%, breaking through the £200m mark for the first time in its 100 year history (2014: £200.8m; 2013: £195m). Improved trading, together with margin improvements, operating cost reductions and a restructuring of its hotel leases, led to a 22% increase in earnings (EBITDA) to £7.1m (2013: £5.8m). The business was the subject of a management buyout last year.
The Wigan based Group also continued to invest in its coach fleet, hotel estate and systems. Total expenditure on hotel refurbishments in 2014 reached £3.6m, while investment in its 240 strong fleet has been over £25m in the last two years. Its Shearings Holidays and National Holidays brands are set to take delivery of 38 new high specification Mercedes-Benz Euro6 coaches this month. It also reduced its overall net indebtedness further to £4.5m (2013: £7.8m).
Chief Executive of Shearings Group, Denis Wormwell, said, ‘This was a truly transformational year for the Group with a successful capital restructuring and the third successive year of improved financial results, despite the challenging backdrop of unfavourable weather in the earlier part of 2014. Our loyal customers are experiencing the benefit of our ongoing investment programme in hotels, coaches and digital technology and we’ve attracted thousands of new customers with our ever-expanding range of short and long breaks in the UK and overseas markets.’