26th Sep 2019 08:31
(Alliance News) - FTSE 250-listed pub operator Mitchells & Butlers PLC said Thursday its sales performance was ahead of the market as strong drink sales growth boosted results in the last two months.
For the eight weeks ended Saturday, like-for-like sales grew 3.3% on the year prior after drinks sales rose 4.0% and food sales grew 2.1%. For the 51 weeks ended Saturday, like-for-like sales were 3.6% higher on the year before with drinks up 3.3% and food up 3.5%.
During the period, Mitchells & Butlers - which operates chains including All Bar One, Nicholson's and Vintage Inns - opened seven new sites and converted or remodeled 239 others.
Total sales for the 51 weeks to Saturday were 4.0% higher on the year prior. Despite cost headwinds, the firm expects operating profit margins to be at a similar level to the 11.8% reported the year prior.
"Sales growth has remained consistently ahead of the market and we carry this momentum forward into the new financial year," Mitchells & Butlers Chief Executive Officer Phil Urban said. "We remain confident of the impact of our Ignite initiatives which will be continually reviewed and refreshed as the business moves forward."
Shares in Mitchells & Butlers were 1.7% higher at 382.50 pence in London on Thursday.
By Ahren Lester; [email protected]
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