Retirement home builder McCarthy & Stone has announced bullish first figures since its £1.1bn acquisition by a private equity group in September 2006.
Following the sale to a consortium led by HBOS, which includes Sir Tom Hunter, the sports retail tycoon, it said turnover had increased from £370.2m to £458.3m in the year to 31 August 2007.
Pre-tax profit was £50.6m, down from £128.2m the year before, because of a £75.5m interest repayment it had to make in the first 10 months of private ownership. Earnings before interest, tax, depreciation and amortisation were £154.2m, up from £107.9m in the same period in 2006.
There was also a 9.8% jump in units sold, to 2,327.
Michael Ball, the chief financial officer, said the new ownership would allow the company to push the figure to 4,000 by 2012.
He said the credit crunch had not yet affected the firm, but warned a prolonged downturn would not be good news.
He said: “The underlying need of elderly people to move into our properties gives us a bit of protection but it may eventually mean our buyers cannot sell their houses.”
The private equity sale saddled the business with £830m of debt, producing an annual interest bill of £80m.
Ball said the debt would be refinanced within three to four years.