Richmond on the up

Richmond Care Villages Holdings Ltd reported increased profits for the year ending 31 December 2012 following losses in 2011. The company was acquired by Bupa in August this year (CCMn August/September 2013). Group turnover grew to £31.3m (2011: £29.3m) while cost of sales decreased from £23.3m to £21.8m. Administration costs were fairly stable, at increasing to £3.6m from £3.3m. This left an operating profit of ££5.8m (2011: £2.7m). In 2011, interest payable and similar charges of £4.7m (plus a small amount of interest receivable) led to a loss before taxation of £1.9m. The picture in 2012 was rosier with interest payable and similar expenses falling to £3.8m leaving profit before tax at £2.1m. Directors of the retirement village provider said the completion of phase two at its Letcombe Village (which was finished in December 2012) was behind the majority of growth for the organisation as occupancy and fees increased in line with expectations. They said that in a flat property market sales were encouraging with 74 completions during the year. They expect resales to play a more prominent role in 2013 as its villages mature. The company has planning consent for three more villages, plus another potential site, and was also due to expand its Witney site earlier this year.