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Host outperforms contract catering market with 35% turnover growth

14th May 2013 - 12:40
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A mix of organic growth, an impressive retention rate for existing business and the impact of two acquisitions have together helped Host Management achieve a 35% rise in turnover to £20.7m for the year ending 31 December 2012.

Operating profit remained flat at £536,000, with Host continuing to reinvest in support resources to improve and enhance service to clients. Underlying income (EBITDA – earnings before interest, taxation, depreciation and amortisation) improved from £589,000 to £729,000.

Finance director Madeleine Musselwhite said: “This is an excellent set of results for the team. Our organic growth and retention are both significantly ahead of the industry average.

“In 2013, I am pleased to say we are continuing to outperform the market – our organic growth is expected to be 15% against an industry average of 3% driving our current annualised turnover towards £30m.”

She said Host was one of the fastest expanding caterers in the UK, with a commitment to working closely with clients to offer healthy, locally-sourced and freshly-cooked food that continued to secure it new contracts.

Host now operates more than 100 sites across the UK and employs 1,000 staff.

In the first quarter of 2013 Host was awarded the group catering contract for NHS Blood and Transplant, a £5m, five-year contract covering 13 sites across the UK.

In addition, the company’s leisure division has gained four wins this year with a combined turnover of £4.5m. These include the Oasis Leisure Centre in Swindon, Tunbridge Wells Sports Centre, The White Horse Leisure & Tennis Centre in Abingdon and a renewed contract at Hillingdon Sports & Leisure Complex.

Written by
PSC Team