15th Jul 2015 06:53
LONDON (Alliance News) - JD Wetherspoon PLC Wednesday reported a rise in revenue in the 50 weeks to July 12 but reaffirmed that pretax profit for the full year is unlikely to be higher than the prior year.
The pub company said that total sales increased 6.5% in the 11 weeks to July 12 and 7.6% in the 50 weeks to the same date, growing 2.9% and 3.4% on a like-for-like basis, respectively.
Operating margin in the 11 weeks was 7.0%, compared with 8.3% in the same period the year before, and is expected to be around 7.4% for the full year.
Wetherspoons confirmed that full-year pretax profit is unlikely to be higher than last year.
Since the start of the financial year, Wetherspoons has opened 26 new pubs and disposed of six, and intends to open around 30 pubs in the current financial year, which ends on July 26, and between 20 and 30 in the following financial year. Wetherspoons recently announced that it would sell 20 pubs across the UK which no longer fit its requirements.
"At this early stage, a number of factors likely to influence our trading performance next year are difficult to quantify. Positive aspects include an increase in pub numbers, a better economy and slightly lower interest rates. Less favourable aspects include heightened competition from supermarkets and restaurant groups, and increased staff, repairs, bar and food costs," Chairman Tim Martin said in a statement.
"We currently anticipate a trading performance similar to, or slightly above, the current year, with an increased second half weighting, and will provide updates in our regular statements in the course of the next 12 months," he added.
Wetherspoon will release its full-year results for the year to July 26 on September 11.
By Karolina Kaminska; [email protected] @KarolinaAllNews
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