http://www.cateringinsight.com / FEBRUARY 2018 / C AT E R I N G INSIGHT 21SPECIAL REPORT / KITC H E N HOUSE REVE NUEDunstable-based Advance Group is storming ahead, posting its
highest ever turnover of £18.1m in the year ending 31 March 2017. This
represents 12% growth from £16.1m in the 12 months prior.
Gross profit also grew, with this year’s £4.5m beating last year’s
total of £4.1m. Percentage-wise, this represents 25% of earnings,
slightly down from 2016’s 26%. However, increased expenses cut the
operating profit from £693,713 in 2016 to £688,361 this year. This
means overall net profit also dropped from 4.16% to 3.75%.
Looking at the turnover as a whole, it has remained glued around £16m
prior to now, apart from a slight dip in the 2014-2015 financial year to £14.5m.
Therefore it was a real milestone to break through the £16m barrier last year.
Chairman Steve Coates cautiously welcomed the latest results,
detailing that although sales grew, there was pressure on margins
as the weaker Pound affected import prices. But as Advance has
just purchased Northamptonshire counterpart, Prestige Catering
Equipment, the future looks positive.
Coates himself founded the firm as a microwave sales and
service company in 1981, recording just a £68,000 turnover that
year. Throughout the early 80s, Advance developed into a fully-
fledged distributor when chefs were enquiring about more than just
microwaves. Since then, it specialises in big chain kitchen rollouts and
maintenance, with clients including the Whitbread group, Mitchells &
Butlers and healthy fast food chain Leon.
Today, Advance carries out about 100 projects and 30,000 service
calls every year and is intending to efficiently grow both without
increasing its current 75-person headcount, thanks to bespoke
software such as its IntEquip asset management system.
- Advance Group
2016 Vital Statistics
Turnover: £18.1m (+12%)
Operating profit: £688,000 (-1%)
Financial year end: 31 March048161220242013-1416.72010-1116.22014-1514.52015-1616.12016-1718.1Turnover (£m)
2011-1216.02012-1316.101252505003756257502013-145532010-114012014-151992015-166942016-176882011-122142012-13540Operating Profit (£’000)
The Sprint Group name might be a bit of a surprise to some to
finish so high on our list, but the 2016-17 financial year turnover of
£16.2m is testament to the success of the Worcestershire-based
kitchen house.
However, the rapid growth of the firm is the very reason why we
do not have a full set of results here.
Smaller firms are exempt from posting their full financial reports
publicly on Companies House, so prior to the 2013-2014 financial year
figures, where turnover was £7.7m, Sprint was too small to qualify.
But we can see from the figures which we do have that the
distributor is definitely on the up.
With operating profits topping £1.2m for 2016, a 28% increase on
the £978,000 of the year before, it is no wonder the company is
currently looking to expand its staff roster.
2017 proved to be tinged with sadness for the business though,
as founder David Ryan tragically passed away. He had started the
company in 1994 with just £1,500, which left little room for mistakes
or immediate massive expansion.
It seems this adherence to working to a tight budget has stood the
company in good stead and new MD Tom Bartley-Smith has inherited
a very sound business model to take forward.
The Ryan family is still well represented in the firm too, with David’s
sons Luke and Ross both remaining on the board.
Clients for the firm include several fit-outs for modern British cuisine
chain Bill’s, a variety of schemes for world food restaurant, Giraffe,
Raymond Blanc’s Brasserie Blanc sites and The Ivy Chelsea Garden.
Sprint also has a fleet of engineers for equipment servicing, and
bespoke counter and ventilation system fabrication.
- Sprint Group
2016 Vital Statistics
Turnover: £16.2m (+14%)
Operating profit: £1.2m (+28%)
Financial year end: 30 AprilOperating Profit (£’000)*
02505001,0007501,2501,5002010-112011-122012-132013-143972014-156342015-169782016-171,253Turnover (£m)*
03612915182010-112011-122012-132013-147.72014-1512.02015-1614.22016-1716.2*Figures not publicly available up to 2013