Applegreen first-half group revenues jump 16%

Service station operator Applegreen has reported a 16 per cent rise in group revenue to €517 million from €445 million in the six months to the end of June, with turnover in Ireland rising 12 per cent.

Earnings before interest, tax, depreciation and amortisation (ebitda) increased42 per cent to €10.7 million from €7.5 million a year earlier.

The group said gross profit was up 35 per cent on the same period last year from €42.2 million to €56.9 million.

Applegreen said the first half of 2015 saw strong growth over 2014 driven by the strong contribution from new sites across the group’s portfolio and the continued development of our food offerings. The company also benefited from currency fluctuations.

Established in 1992, Applegreen employs 2,600 people and operates 175 forecourt sites across Ireland, the UK and the US, with a 12 per cent market share in the motor fuel sector in the Republic.

The group raised €91.7 million in June when it floated on the junior ESM market in Dublin and the Alternative Investment Market in London.

In the Republic of Ireland, revenues rose 12 per cent and gross profit by 25 per cent. Like-for-like store and food sales increased by 5 per cent and like-for-like gross profit by 7 per cent. The group said fuel gross profit increased 15 per cent with a like-for-like margin decrease of 3 per cent due to currency fluctuations.

During the first half, Applegreen opened 16 new outlets and 11 dealer sites in Ireland.

In the UK, revenue was up 21 per cent during the first half while gross profit increased from €9.6 million to €15.6 million. Like-for-like stores and food sales increased by 5 per cent while like-for-like store and food margin was up 16 per cent. Fuel gross margin increased by 37 per cent and like-for-like figures recorded growth of 14 per cent.

Since the end of June the group has added seven new sites in Ireland, including two nw service areas in Dublin and Kerry. It has also added two further sites in the UK.

The group said overall trading since the end of June was in line with expectations with lower growth forecast for the second half of the year.

"We are very pleased to announce our first interim results as a public company. The group has delivered a strong performance in the first half of 2015 reflecting the positive contribution from site openings in the latter part of 2014 and the increased contribution from food driven by our upgrade programme," said Applegreen chief executive Bob Etchingham.

“Growth was evenly spread across both the Republic of Ireland and the UK, with the latter’s contribution also benefitting from the strength of sterling against the euro during this period,” he added.