Family-owned business Leekes Retail & Leisure Group, headquartered in South Wales and comprising the Vale Resort, Hensol Castle Distillery, the Leekes Retail operation and a property business, has posted its latest set of results. The group announced a strong performance with EBITDA of £5.2m and a profit before tax and exceptional items of £1.6m for the year ended 31st March 2025.
While the Vale Resort and Leekes' distillery operations delivered an impressive performance despite the challenges facing the hospitality industry, in FY 2024-25, delivered sales in the retail business were 5% down YoY, with the inflationary environment and sluggish housing market affecting demand for high-value home purchases, says Leekes.
However, delivered sales and profitability for the seven months to 31st October 2025 have both rebounded, with delivered sales up 7% and profits of £0.6m against a breakeven position in the prior year.
Emma Leeke, MD of Leekes Retail, says: "The economic environment remains very challenging with consumers' disposable income impacted by continuing price inflation and the resultant high interest rates. Businesses are also impacted by double-digit cost inflation particularly as a result of increased staffing costs with significant growth in National Living Wage and the impact of increased employer National Insurance contributions.
"Despite this, we remain confident that the £10m investment in the refurbishment of our flagship store in Llantrisant, South Wales and the growth from our newest store in Cheltenham will accelerate the sales improvement we have seen in the first half of 2025-26."
The group recently extended its refinancing facility of a £25m Revolving Credit Facility with Barclays Bank to a four-year term.
Mike Fowler, group FD, says: "We have put in place plans for £15m of capital expenditure across our core operations over the next three years. The continuous reinvestment of our strong profits back into the business, the low levels of gearing of 15% and the support of Barclays who have been bankers to the group for over 20 years, together enable us to continue with our ambitious programme of investment despite the prevailing economic uncertainty."
