Pub group Fuller Smith & Turner have reported strong in the first sixteen weeks of its current financial year with increased sales and improved margins.
The group reported like-for-sales growth of 5.3% in the period to 20 July, which covered the month of the Euro 2024 tournament. The company added that its profit margins are “recovering” due to easing inflationary pressures, with food and drink cost inflation significantly slowing over the past year.
Since the year end, Fuller, Smith & Turner has completed the sale of 37 non-core pubs to Admiral Taverns for a cash realisation of £18.3m and completed the sale of The Mad Hatter in Southwark for a total consideration of £20m, strengthening the company’s balance sheet.
Simon Emeny, chief executive of Fuller, Smith & Turner, said:
“I am delighted to see our sales growth momentum continue, particularly against the backdrop of easing inflation, which will help us to grow margins and profit, as well as revenue.
“We have had a strong start to the financial year, and we look forward to the opportunities the future will bring.
“We have a new UK Government in place, and I urge Sir Keir Starmer to stand by his commitment to overhaul our archaic business rates system.
“The Labour Party has a clearly stated objective to grow the economy and the hospitality sector can be an excellent engine to help deliver that growth.
“With the continued commitment of our inspiring teams, we will take the company forward, grow the business, and deliver excellent returns for all our stakeholders.”
