London Shepherd Neame pubs pull 60 per cent of revenue on pre-pandemic levels
Shepherd Neame pubs in London have pulled 60 per cent of their revenue and total sales from 2019 levels before pandemic restrictions eased fully in July.
The British brewery, which operates some 310 pubs across the Southeast, found that pubs outside London fared slightly better – raking in 84 per cent of revenue and total sales on levels seen before the pandemic.
Around 15 central London pubs were shut until 19 July’s ‘so-called ‘Freedom Day’, likely due to a lack of outdoor space, which the brewery has suggested pushed the lower trading levels in the 11 weeks to 26 June.
Its tenanted pubs also hit 77 per cent of trading volumes on pre-pandemic levels.
While initial outdoors trade from April to 16 May was “encouraging”, demand has accelerated since indoors trade was allowed again.
The business continues to reap the benefits of pent-up demand for “the pub experience”, the brewery said in a statement, with consumers beelining for rural and coastal pubs amid a mini domestic tourism boom.
Many formerly homebound consumers have reached for a post-pandemic restrictions pint – with June securing 91 per cent of 2019 beer volumes.
“Although we continue to trade below full capacity, we have benefitted from strong pent-up demand. The business is back on the path to recovery and has been cash generative and profitable since re-opening,” CEO Jonathan Neame said.
However, the brewer boss warned that “we naturally have to be cautious in case further restrictions are imposed during the winter months, we are now looking forward and planning beyond the pandemic with some optimism, driven by the rapid return to near normal trading levels in the past few weeks.”