8th Nov 2023 08:45
(Alliance News) - JD Wetherspoon PLC on Wednesday reported continued "gradual improvement" in sales, with inflationary pressures easing, though energy costs remain robust.
The Watford, Hertfordshire-based pub company reported that in the 14 weeks to November 5, like-for-like sales were 9.5% higher on-year.
Chair Tim Martin said: "Sales in the first 14 weeks of the financial year have continued the pattern of gradual improvement which has followed the ending of lockdowns and restrictions. Inflationary pressures have eased, but energy costs, in particular, remain at far higher levels than pre-pandemic, putting pressure on suppliers and the wider economy."
Martin said the firm is upping its investment in existing pubs in the current financial year to around GBP70 million, from GBP46.9 million a year prior.
He added: "Areas of investment include new staff rooms, changing rooms, glass racks above bars and air conditioning. The company currently expects an outcome for the financial year in line with market expectations, and will provide further updates as the year progresses."
The company said it opened one pub at Heathrow Airport during the reported 14-week period, while four pubs were sold and six leasehold pubs were surrendered to the landlord. It currently has a trading estate of 816 pubs.
JD Wetherspoon shares were 0.8% higher at 681.50 pence each on Wednesday morning in London.
By Tom Budszus, Alliance News reporter
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