Pub and restaurant group Mitchells & Butlers has reported strong sales growth in the first three quarters of the year.
Revenue was up by 5.7% compared to the same period in 2023, and all of the group’s brands, including All Bar One, Harvester and Toby Carvery, are growing.
However, third-quarter like-for-like sales growth was 3.4%, marginally slower than the previous six months, and was attributed to Easter falling in the fiscal first half of the year and the effects of continuing inflationary easing during a period of wet weather.
The current like-for-like sales growth rate for the most recent 13 weeks, excluding the impact of Easter in both years, is 4.2%.
In the first half of 2024, food sales outpaced drinks with a 7.7% year-on-year increase compared to a 6% rise in beverage sales. However, this trend reversed in the third quarter, where food sales grew by 2.6%, while drink sales rose by 4%.
Chief executive Phil Urban commented: “We are pleased with the continued strong trading performance, which has remained ahead of the market through the year. As inflationary pressures have eased the level of price increase we have taken has reduced, leading to headline sales growth in line with more normalised levels as expected during the second half. The combination of easing inflationary costs and continued sales growth will ultimately benefit our profit levels for the year.
“With the unique strengths of our business, including a diverse portfolio of established brands, value proposition and enviable estate locations, we are well positioned to continue to grow profitability and market share into next year.”
