REG - Mitchells & Butlers - Pre-Close Trading Update

Mitchells & ButlersAnnouncement

26/09/2024 07:00

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RNS Number : 7010F  Mitchells & Butlers PLC  26 September 2024

26 September 2024

 

Mitchells & Butlers plc

LEI no. 213800JHYNDNB1NS2W10

 

Pre-Close Trading Update

 

Trading statement covering the 51 weeks ended 21 September 2024.

 

Sales

Sales growth has remained ahead of the market(a) through the fourth quarter,
with like-for-like sales growth of 5.2% in the year to date and all brands in
growth. The rate of growth in the fourth quarter continues to reflect a
progressive easing of the inflationary environment, as well as an unseasonally
cool and wet summer period and the disruption caused by riots in city centres
during August.

 

Like-for-like sales:

        Weeks 1-15  Weeks 16-28  Weeks 29-42  Weeks 43-51  Weeks 1-51

        Q1          Q2           Q3           Q4           YTD
 Food   8.7%        6.6%         2.6%         2.0%         5.3%
 Drink  6.6%        5.3%         4.0%         3.0%         4.9%

 Total  7.7%        6.1%         3.4%         2.5%         5.2%

Total sales in the year to date have increased by 5.9%.

 

Investments

We continue to focus on investment in the estate and in the year to date we
have completed 185 conversions and remodels and have opened six new sites in
addition to the continued rollout of a number of initiatives to reduce energy
usage, such as solar panels and sensors.

 

Outlook

Net cost headwinds will reduce to c£55m this financial year with increases in
labour costs substantially mitigated by deflation in our energy costs, but
also slowing food cost inflation and strong cost control at site level.

 

Coupled with a robust sales performance, ahead of the market, we remain
confident in the delivery of a full year result at the upper end of consensus
expectations.

 

The current financial year will be a 52-week accounting year to 28 September
2024.

 

Phil Urban, Chief Executive, commented:

 

"Sales growth has continued to normalise as inflationary cost pressures ease
whilst our diverse portfolio of established brands and advantaged estate
locations underpin our outperformance against the market.  We enter the new
financial year armed with a fresh wave of initiatives under our Ignite
programme and a full capital investment programme planned to deliver cost
efficiencies, increased sales and to further drive market out-performance and
increasing profitability."

 

 

 

 

Definitions

a - As measured by the CGA Business Tracker.

 

For further information, please contact:

 

 Tim Jones - Chief Financial Officer                          +44 (0)121 498 6112
 Amy de Marsac - Investor Relations                           +44 (0)121 498 6514
 James Murgatroyd (FGS Global)                                +44 (0)20 7251 3801

 

 

Note for editors:

Mitchells & Butlers is a leading operator of managed restaurants and pubs.
Its portfolio of brands and formats includes Harvester, Toby Carvery, All Bar
One, Miller & Carter, Premium Country Pubs, Sizzling Pubs, Stonehouse,
Vintage Inns, Browns, Castle, Nicholson's, O'Neill's, Ember Inns, and Ego
Restaurants. In addition, it operates Innkeeper's Collection hotels in the UK
and Alex restaurants and bars in Germany. Further details are available at
www.mbplc.com and supporting photography can be downloaded at
www.mbplc.com/imagelibrary.

 

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