Mitchells and Butler: All Bar One owner lifts guidance as cost pressures ease
All Bar One owner Mitchells and Butler (M&B) expects profits to be at the top end of forecasts as it cautiously cheered an end to tough cost pressures.
The no-frills pub chain, which also owns Toby Carvery, said that like-for-like sales were up 7.7 per cent in the two months to January, over the Christmas period.
It added that sales were up over 10 per cent on a like-for-like basis over the Christmas week across its 1,000 sites, and the pub owner also posted “record sales” for Christmas day based on 229,000 meals served.
Phil Urban, chief executive, said:”Our focus remains on the effective execution of our Ignite programme of initiatives and our successful capital investment programme, driving cost efficiencies and increased sales.
“With the unique strengths of our business, including a diverse portfolio of established brands and enviable estate locations, we are well positioned to continue to grow profitability and market share in the year ahead.”
Looking ahead, board members said the full year outturn will be towards the “top end of current consensus expectations”.
They said: “Sales have remained strong throughout the first quarter and, notwithstanding a 9.8 per cent increase in the national living wage next April, overall cost pressures are now abating.
“We remain mindful of uncertainties ahead but, based on the strong performance of the business so far this year we now believe that the full year outturn will be towards the top end of current consensus expectations.”