Pub company Mitchells & Butlers has reported adjusted operating profit of £149m in the 28 weeks to April 8.
Like-for-like sales were up 1.6% on the same period in 2016, although these were affected by Easter moving to the second half of the company’s year in 2017.
Chief executive, Phil Urban, said: “During the half-year we have generated sustained sales growth, whilst consistently outperforming the market. This comes from the good progress we have made in our three priority areas: building a more balanced business, instilling a more commercial culture, and driving an innovation agenda.
“As previously announced, margins have been adversely impacted by increased costs, most notably from wage inflation, property costs and exchange rate movements.
“In order to partially mitigate these costs we have been working hard to encourage our guests to trade up and increase spend per head for a more premium experience, whilst challenging our general managers to run their businesses as cost effectively as possible.
“Overall, we are pleased with the turnaround in our sales trajectory and relative performance against the market. In a challenging cost and consumer environment, we will continue to focus on our three priority areas.”