Irish business fuels Applegreen's first half success

As the company plans to bring new motorway services to Britain...

Irish business fuels Applegreen's first half success

The Applegreen service station outside Balbrigan in Co Dublin | Image: RollingNews.ie

Fuel and food service forecourts operator Applegreen has announced a 15% increase in earnings or operating profits to €13 million for the half year to June.

The company, which operates 220 sites across Ireland, the UK and north-eastern United States, saw revenues rise by 7.5% to €556m. Its gross profits climbed 20%, with business in the Republic of Ireland noted as particularly strong.

Continued expansion of the estate was a key factor in the healthy interim performance. Applegreen has added 20 sites to its total so far this year. 

It also developed new franchise relationships with Freshii and 7-Eleven, while 17 new food outlets opened.

As it plans to develop new motorway service stations across Britain, chief executive Bob Etchingham said:

"In the UK, a more competitive environment impacted growth in the early part of the year and while this abated, we also noted a more cautious consumer in advance of the Brexit vote.

“The decision by the UK public to exit the EU took place in late June so had no significant impact on the figures for the six months.

"Looking to the future, the lower Sterling:Euro exchange rate will obviously impact on our consolidated figures but otherwise it is too early to assess what impact the decision will have on our business."

Trading was strong in July and August in the Irish service areas. Volumes in the UK also proved positive in the aftermath of the Brexit vote.