Fuller's reports 5.4% uptick in lfl sales, Xmas bookings up 15%
In its latest trading update, the London-based pub operator and brewer detailed total like-for like-sales were up by 5.4% across its estate during the first 32 weeks of the year.
Like-for-like trade in the firm’s managed pubs and hotels were up 5.2% in H1, according to the report.
In addition, Christmas bookings for this year were up by 15%.
Fuller’s chief executive Simon Emeny said the operator’s estate was in “amazing shape”.
Great shape
He continued: “We have had a great start to the year – delivering on all five pillars of our strategy and ensuring we succeed in our purpose, to create experiences that nourish the soul.
“Without a shadow of doubt, our estate has never been in such good shape, and we continue to invest to maintain our quality, with £10m of capital expenditure in the first half.”
Food sales saw a 5.5% uptick while drink and accommodation numbers had both increased by 4.9%.
Average room rate increased to £138 during the period, up from £127 in H1 2024 while “premium drinks” saw “continued growth”, with cocktails now accounting for a third of spirit sales at Fuller’s, rising in value by 271% since pre-Covid,
“Looking at the way our customers spend, and the places in which they choose to do so, has also opened new opportunities and encouraged us to push initiatives we know our customers like – such as prix fixe menus across some of our rural estate”, the report stated.
Adjusted profit before tax increased by 21% to £17.6m (H1 2024: £14.5m) with statutory profit before tax of £29m (H1 2024: £14.9m), including profit of £17.2m from the disposal of The Mad Hatter hotel. Net debt across Fuller’s estate decreased from £129.4m in H1 2024 to £128.2m.
Consistent strategy
Fuller’s also completed the sale of 37 “non-core” tenanted pubs to Admiral Taverns during the period, giving rise to funds of £18.3m.
It additionally acquired the Lovely Pubs business on a multiple of 7.25x EBITDA for £22.5m, adding 185 outstanding managed pubs and hotels as well as 153 tenanted inns to its estate.
The report also laid out Fuller’s future plans, including a £20m capex programme for H2, despite “fresh challenges” presented by the Chancellor in the recent Budget.
Emeny added: “In summary, everything that is in our control is going well. We have an outstanding, predominately freehold, well-invested estate, a driven and motivated team – who are supported by continuous development – and a clear, consistent strategy.
“We are in excellent shape, and despite the fresh challenges presented by the Chancellor’s recent budget, we remain positive and optimistic about the future.”
