Fuller’s reports half year revenue up

The business reported revenue was up to £168.9m against £116.3m in the first half of 2022 as it recovered from the impact of Covid restrictions on trade.

Furthermore, like-for-like sales also grew by one fifth (20%) compared to the previous year with central London sales increasing by 67%.

Currently, like-for-like sales for the seven weeks to 12 November are up by more than one tenth (13%) against the year before.

Adjusted profit before tax was up from £4.6m to £9.8m and net debt was at £129.2m (down from £131.5m in the first half of the year).

Growth potential

Fuller’s stated it had significant capacity to invest in growth with a four year £200m bank facility effective from May 2022.

The business also maintained investment in its estate over the period, with £12m ploughed in to enhance capital values and drive further growth.

Furthermore, it reported strong Christmas bookings with an additional uplift expected from the World Cup.

Fuller’s chief executive Simon Emeny said: “Following on from a good first half performance, we have maintained our forward momentum in the seven weeks post the period end with like-for-like sales up by 13% against the same period last year.

“As commuters return to their offices and international tourists once again visit the capital, our central London and city sites have seen like-for-like sales for the first seven weeks of the second half rise by 20% against the prior year, despite the impact of tube and train strikes.

“While we look forward to our first Christmas free of restrictions for three years and the added bonus of a FIFA World Cup, we are trading in an increasingly challenging environment.”

Long-term business

He outlined these current challenges facing the sector and how this is affecting Fuller’s specifically.

Emeny added: “Cost pressures from energy bills, wage and food inflation and increasing interest rates continue to impact us and all businesses in the hospitality sector.

“Our teams are working hard to manage these pressures while ensuring we continue to deliver an outstanding experience for our customers.

“We are a long-term business with excellent foundations in terms of the strength of our balance sheet and our predominantly freehold estate and we have the talent, desire and drive to deliver future growth and success.”