http://www.cateringinsight.com / FEBRUARY 2018 / C AT E R I N G INSIGHT 17SPECIAL REPORT / KITC H E N HOUSE REVE NUE1Total Top 10 Turnover (£m)*03060901201501802102014169.2015199.2016199.2010 2011 2012 2013144.
92.3 104.4 108.*Some figures were not available for the 2010-2012 period10,
8,6,
4,
2,
0 2,
2010391
20113,
20127,07 120138,20153,20167,2014Total Top 10 Operating Profit (£’000)*Catering Equipment, had the up-to-
date totals been published. However, to
align itself with its relatively new owner,
the Nisbets group, the end of its latest
accounting period has been extended
from 31 March 2017 to 30 September
- But if the 2015-2016 financial year
turnover is anything to go by, at £18.8m,
a similar total would have placed it at
number four on our list.
Rankings
To rank each kitchen house, we have
tracked and compared the performance
of the largest 10 players by current
turnover (that we are aware of ). We have
also compared operating profit (or loss)
totals, as we feel that both these figures
provide the most fair and accurate
picture of the businesses’ health because
there is very little creative accountancy
that can affect them.
We have gone back to the 2010
results as and where we can, so that
any anomalous years can be seen
within the context of overall trends
too. Each entry is ascribed with
the percentage increase/decrease
of current turnover and operating
profit compared to the previous year’s
amount, as well as stating its financial
year end date. While some financial
years end in March or April, and
other companies go by the calendar
year, it was not possible to match
up the precise same periods of each
kitchen house, but with only a few
months’ difference between the results,
hopefully they should be as near a
representative comparison as possible.
The turnover is recorded in millions,
while operating profit is displayed to
the nearest thousand. And we have
listed them in reverse order to make
you wait with bated breath to see who
occupies the top spot.
There were a string of kitchen
houses who were just outside the top
10, at or approaching around £10m
turnover. The likes of Court Catering
Equipment, Shine Catering Systems,
Vision Commercial Kitchens, IFSE
and Hallmark Kitchens were knocking
on the door, but none quite had the
headline figures this year to make it
in there.Aggregated growth
Pulling together the top 10’s revenue
and turnover gives us a stark
demonstration of how quickly the top
kitchen houses have grown over the
last 7 years. For one reason or another,
some entrants on the list do not have
recorded totals before 2012, so themost accurate picture from the last 4
years shows that aggregated turnover
has increased by nearly 38%, from
£144.9m in 2013 to £199.3m in 2016.
The operating profits totals provide
a rather different story, however.
Again, if we take the fullest picture of
the last 4 years, the aggregate figures
start to soar but then plummet for
2016, thanks to a couple of companies’
significant losses. From 2015’s high of
£8.1m, in contrast, 2016’s total of £3.8m
represents a 53% reduction.
Looking at the overall market, these
profit erosions could be attributed
to both the Brexit vote impact and
competition from online dealers. But
there are exceptions to the rule, and of
course each company’s results reflects
its own story, as you will see on the
following pages.
So, we hope you will enjoy this
window into the kitchen house market- I’m sure it will provoke a good deal
of debate!
Clare Nicholls
Editor
Catering Insight