Wetherspoon Reports Strong Sales Growth Despite Rising Cost Pressures

JD Wetherspoon has reported encouraging sales momentum across its estate, with like-for-like sales climbing 4.7% in the 25 weeks to 18 January 2026, though the company has cautioned that rising operational costs are likely to impact full-year profitability.

The pub operator, which trades from 794 managed sites across the UK, saw particularly strong performance in its bar sales, which surged 6.9% on a like-for-like basis. Gaming machine revenue also performed robustly, up 9.1%, whilst food sales grew more modestly at 1.3%. Hotel room sales dipped marginally by 0.7%.

The group’s trading gathered pace through the period, with second-quarter like-for-like sales accelerating to 6.1%. The key Christmas trading period proved particularly buoyant, delivering an 8.8% like-for-like uplift across the three weeks from 15 December 2025 to 4 January 2026.

Total sales across the estate increased 5.3% year-to-date.

However, chairman Tim Martin struck a cautious note regarding profitability, warning that cost inflation has exceeded expectations. Energy, wages, repairs and business rates have collectively increased by £45 million in the first 25 weeks alone.

“We are pleased with the sales growth in the financial year, and with the increased momentum in the second quarter,” Martin said. “Costs have been higher than anticipated… Profits in the first half are likely to be lower than the comparable period in the previous financial year.”

The company now anticipates a full-year trading outcome “slightly below” that achieved in FY25, assuming current sales momentum continues.

Despite the cost headwinds, Wetherspoon has pressed ahead with its expansion programme, opening six new pubs in the year to date at London Bridge station, Merchant Square in Paddington, Kenilworth, Basildon, Wetherby and Beaconsfield. A total of 15 openings are planned for the current financial year.

Six pubs have been disposed of, generating a net cash inflow of £3.3 million.

The company’s franchise model continues to gather pace, with eight franchised sites opened year-to-date, bringing the total to 16. A further 10-15 franchise openings are expected, including the group’s first mainland Spanish location at Alicante Airport.

Interest costs for FY26, excluding IFRS 16 notional interest, are forecast at approximately £47 million, down from £49 million in 2025. Including IFRS 16 adjustments, total annual interest costs are expected to reach around £60 million.

Year-end debt levels are projected to stand between £740 million and £760 million, slightly ahead of the £724 million recorded in FY25.

The company has continued its share buyback programme, purchasing 2,770,750 shares for cancellation at an average price of £7.22 per share during the period.

Wetherspoon’s interim results for the six months ending 25 January 2026 are scheduled for release on 20 March 2026.