Turnaround for Endless-owned pasty company “impressive”
The West Cornwall Pasty Co Ltd, is celebrating a successful year following its buyout by Leeds private equity house Endless.
Turnover for West Cornwall Pasty Co Ltd in the 50 week trading period ended 31st March 2015 was £12.5m generating an EBITDA of £551k.
The management team said that under the previous ownership, the business was making a loss of £800,000.
Pre-tax losses of £195,000 were reported, which the company said is due to £621,000 of exceptional costs relating to the initial acquisition, including reorganisation costs, primarily redundancy costs at head office as the new management team moved in.
The West Cornwall Pasty Co business was restructured following a buyout by Endless after it had appointed administrators from PwC in April 2014.
Following this, Endless bought 35 stores under the brand, saving 200 jobs in the process, using their SME fund Enact for the first time.
The company said they had faced the "challenging" loss of two of these retail sites after being unable to come to an agreement with landlords.
Prior to administration, West Cornwall Pasty Co had been struggling with loss-making, underperforming stores and the effects of the ‘pasty tax', which was implemented by Chancellor George Osborne in an attempt to simplify the taxation of hot takeaway food.