Bowland Inns and Hotels reports £1m loss despite 3% revenue rise

Bowland Inns and Hotels has reported a pre-tax loss of £1.04m for the year ended 31 May 2025, despite revenues increasing by 3% to £25.4m during the period. 

The group, which operates 14 hotels and a brewery, revealed in its filing at Companies House that rising interest rates and exceptional costs impact the final result. 

Bowland’s interest payments rose 18% during the period, while one-off costs reached £754k – of which £329k was made up of pre-opening expenses. 

However, the operator maintains that its operational performance remained steady, with EBITDA remaining largely unchanged at £4.2m. Operating profits increased from £1.06m to £1.39m. 

Bowland acquired Wennington Hall, a Grade I-listed former school, which drove the turnover growth following its launch in early 2024 following an extensive refurbishment programme. 

Net assets for the group stood at £17.28m at the end of the period, supported by an upward revaluation of land and buildings.

The company also secured a £25m term loan facility with Barclays post-year end in October 2025, moving its financing from previous lender OakNorth.

Management stated that while consolidation and profitability are immediate priorities, the new funding allows for further acquisitions and a return to pre-pandemic growth strategies.

Directors noted that the group is monitoring rising input costs, specifically regarding food, business rates, and the National Minimum Wage increase due in April 2026.