World Cup helps Enterprise achieve 'encouraging' growth

Like-for-like net income in the year to date (44 weeks to 2 August) is up 1.3%.

Enterprise said: “The first five weeks of our fourth quarter have produced trading in line with last year which is as expected given the more challenging comparative period, resulting in like-for-like net income growth of 1.5% for the first 18 weeks of the second half.

“We remain focused on the delivery of our operational initiatives which we are implementing to continue to improve our trading performance. The rate of business failure continues to fall and we are making further progress with the provision of additional services to our publicans which are aimed at supporting publican profitability.”

The company said its cash flow and balance sheet metrics are “in line with expectations”.

“We expect to meet our full year guidance of net proceeds from asset disposals of £70m, which will be used to fund our capital investment programme.

Debt reduction​

Enterprise said strong cash generation from operating activities will continue to be used to reduce debts and it anticipates total net debt will be reduced to £2.4bn by the year end.

Simon Townsend, chief executive, said: “We are pleased to report continued progress for the business with the delivery of our fourth consecutive quarter of like-for-like net income growth. 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.

“We are focused on constantly improving the quality of our pubs, continuing to direct an increased proportion of capital investment toward initiatives which will grow income, while reducing the level of business failures and supporting our publicans to grow their businesses. Through these initiatives we believe that our progress will be maintained.”