Marston’s reports 5.8% boost in retail sales
The operator of 1,339 pubs reported retail sales in its managed and franchised pubs (excluding disposals) for the 52-week period were 5.8% higher than the prior year, with growth in like-for-like sales of 4.8%, which Marston’s said “outperformed the broader market”.
The group said both food and drink occasions have shown good momentum while, in the 13-week period ending 28 September 2024, like-for-like sales increased 3.8%, which Marston’s said was “a strong result that comes despite the very wet weather towards the end of the period”.
Food sales performance ‘exceptionally well’
It added food sales in this period performed “exceptionally well, a positive indicator as we approach the festive season”.
Marston’s said the combination of its strong trading performance, disposals strategy, the sale of its 40% share in CMBC, and the CMBC dividend received for H1 has enabled a material reduction in net debt.
Management expects net debt (excluding IFRS 16 lease liabilities) for the full year to be approximately £885m, equating to a reduction of c£300m on FY23, underscoring the group’s ability to strategically deleverage while continuing to deliver growth.
Quality of experiences
Marston’s CEO Justin Platt said: “The strong revenue performance is very pleasing. This reflects the quality of the experiences we are providing for our guests as well as the continued focus and passion of our team.
“This performance, combined with our recent disposal of CMBC puts Marston’s in a strong position to drive value for our shareholders as a focused pub business. We look forward to sharing more about the Marston’s growth opportunity at our investor day next week.”
