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Fuller's profit falls as inflation bites away at revenue jump

15th Jun 2023 11:12

(Alliance News) - Fuller, Smith & Turner PLC on Thursday reported a surge in annual revenue, but higher costs due to inflation meant a lower profit than a year ago.

The pub and hotel chain said pretax profit in the financial year to April 1 totalled GBP10.3 million, down 10% from GBP11.5 million a year prior. Revenue climbed 33% to GBP336.6 million from GBP253.8 million, as its business improved from the impact of Covid-related resections on trade.

Meanwhile, operating costs increased 37% to GBP325.7 million from GBP237.3 million.

Despite the profit fall, which it blamed on higher energy, food and wage prices as well as tube and train strikes, the company declared a total dividend of 14.68p, a 30% lift from 11.31p a year ago.

Looking forward, Chief Executive Simon Emeny said he is "more optimistic about the future" than he has been since before the pandemic.

"While the well-documented inflationary environment has been a challenge, there are positive signs on the horizon. In addition, we are ever hopeful of a resolution to the ongoing train strikes to allow us to further benefit from the increasing numbers of office workers and international tourists returning to the capital," he said.

Fuller, Smith & Turner shares rose 2.5% to 563.84 pence each on Thursday morning in London.

By Tom Budszus, Alliance News reporter

Comments and questions to [email protected]

Copyright 2023 Alliance News Ltd. All Rights Reserved.


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