Like-for-like sales at J D Wetherspoon rose 4.7% in the 25 weeks to 18th January, compared to the same period the previous year.
Like-for-like sales for the last 12 weeks of the 25-week period (the second quarter of the financial year) were 6.1% higher than the same period a year ago. Total sales have grown by 5.3% in the year to date.
In the year to date, the company has opened six pubs — at London Bridge station, Merchant Square in Paddington, Kenilworth, Basildon, Wetherby, and Beaconsfield. The company anticipates opening a total of 15 pubs in the current financial year. Six pubs have been sold in the year, giving rise to a net cash inflow of £3.3m. The company currently has a managed trading estate of 794 pubs.
In addition, eight franchised pubs have opened, bringing the total number to 16. A further 10 to 15 are expected to open in the rest of the financial year, including the company’s first opening in mainland Spain, at Alicante Airport.
“Costs have been higher than anticipated, with energy, wages, repairs, and business rates, for example, increasing by £45m in the first 25 weeks,” said Wetherspoon chairman Tim Martin.
“Profits in the first half are likely to be lower than the comparable period in the previous financial year. If the current sales momentum continues, the company currently anticipates a full-year trading outcome slightly below that achieved in FY25.”
Robyn Duffy, consumer markets senior analyst at RSM UK, said: “A diverse mix of revenue streams is serving the business well. Drinks sales remain robust, while the food offering is performing an increasingly strategic role, driving spend and helping to smooth trading throughout the day with slot machines showing strong performance too.
“By contrast, hotel stays remain under pressure, reflecting wider trends across the accommodation market, where luxury continues to thrive while budget-led demand shows signs of fatigue.
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“Costs are now the key pressure point for the business, with energy, wages, repairs and business rates driving a £45m increase in costs over the first 25 weeks of trading. Against this backdrop, Wetherspoon’s profit outlook has turned more cautious, with first-half profits expected to be lower than the same period last year, and full-year trading likely to come in slightly below FY25. That performance is nevertheless notable given intensifying cost pressures across the sector.”
Pubs showing Six Nations rugby saw, on average, a 17% increase in revenue, compared to non-match weekends, and a 26% rise in pint sales last year.
• Access Hospitality, which analysed data from last year’s tournament, says now is the time for pubs and bars to start preparing for the tournament, which gets under way on 5th February.
Momentum for the tournament also builds fast, with data from DesignMyNight revealing that three-quarters of bookings were made within the first two weeks of the event, and half were secured in the final five days.
Big matches, like Wales versus Ireland and England versus Scotland, saw the biggest increase in revenue in pubs: 40% and 29% respectively.
This year, England is the team to watch, having shown a lot of promise in recent tournaments, which could drive more fans to head to pubs for key clashes.
