Franchise Brand’s revenues are up thanks to the acquisition of drainage franchise Metro Rod.
Franchise Brands is an international, multi-brand franchisor with a network of over 450 franchises in 12 countries. One of its principal brands is Metro Rod. In October 2019, Franchise Brands acquired Willow Pumps to complement and expand Metro Rod’s drainage and plumbing business.
The system sales of Metro Rod increased by 14 percent, in comparison to eight percent the year before. The Willow Pumps acquisition contributed more than was expected in the three months it was part of the group. While Willow Pumps isn’t a franchise, it does help Metro Rod offer a complete range of market-leading pump services so it can expand its offering to customers.
Investing in IT has also enhanced Metro Rod’s performance and efficiency, as the time it takes to make a quote has been cut by two thirds.
Revenues were 24 percent ahead at £44 million and underlying earnings per share were 29 percent higher at 4.34p. Both figures exceeded expectations.
ChipsAway, Ovenclean and Barking Mad are other brands in the Franchise Brands portfolio, and there were 17 new franchises in 2019. ChipsAway has 205 franchise locations, which makes up almost three quarters of the division’s gross profit.
Metro Rod is a drain care and repair business that is using franchising to increase its UK coverage. Don’t worry if you lack previous experience in the sector, as it isn’t essential. With its highly experienced technical team on hand to guide you through the training programme, it’s more important to be ambitious and dedicated to your franchise’s success. If you’d like to learn more and see a full breakdown of the investment costs, click here.
Becky Martin, Point Franchise ©
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