7th Aug 2014 09:03
LONDON (Alliance News) - UK pubs operator Enterprise Inns PLC Thursday reported its fourth straight quarter of like-for-like net income growth, and said it remains "comfortable" with meeting its full-year expectations, after its third quarter trading period was boosted by the FIFA World Cup.
In a statement, the group said the fourth quarter of its financial year faces tougher comparatives, but said it will continued to use its strong cash generation to reduce its debt, and is on track to get a total of GBP70 million in net proceeds from pub disposals made during the year.
"The final quarter of the year will be measured against tougher comparatives but we are encouraged by the start we have made and remain comfortable with our full-year expectations," said Chief Executive Simon Townsend in a statement.
Enterprise Inns said growth in the third quarter, which ended June 30, was boosted by the FIFA World Cup in June, and supported by its "on-going operational initiatives". Like-for-like net income was up 2.1% in the quarter.
Like-for-like net income across its estate for the 44 weeks to August 2, grew by 1.3%, helped by strong trading in the south of England and in and around London.
"The first five weeks of our fourth quarter have produced trading in line with last year...resulting in like-for-like net income growth of 1.5% for the first 18 weeks of the second half," the company said.
Enterprise Inns said it will reduce its total net debt to GBP2.4 billion by the end of its financial year to end of September.
It also said its expects to meet its full-year guidance of net proceeds from asset disposals of GBP70 million, funds it said it will use for its capital investment programme.
The company said it expects to release its results for the full year ending September 30 on November 18.
Enterprise Inns shares were up 1.6% Thursday morning, trading at 121.21 pence.
By Rowena Harris-Doughty; [email protected]; @rharrisdoughty
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