Milder winter lifts pubco Spirit as sales up 6%

STAFFORDSHIRE pubco Spirit Pub Company has enjoyed a strong start to 2014 with like-for-like net sales across its managed pubs up more than 6%.

The performance improves on a trend seen in the first half of its current financial year, where sales for the 28 weeks to March 1, 2014 were up 4.8%.

Since January, food sales in its managed estate have risen 6.7% and drinks sales were up 5.5%, again both improvements on the first half trend overall.

In a trading update, the Burton-upon-Trent based business said: “We are encouraged by the continued strong performance of our Managed pubs. Whilst like-for-like sales in the recent trading period benefitted from snow-impacted comparatives, we continue to perform ahead of the market with good momentum achieved in both food and drink sales.”

The performance was just as strong in its leased pubs, where like-for-like net turnover for the eight weeks to March 1 was up 4.5% and net income up 6%. Again, both of these were improvements on the first half performance.

The group said as a result of changes in the supply network ordering process during the period, sales had been brought forward into H1. However, without this, like-for-like net income would still have been up 4.6% in the eight week trading period and 2.2% in the year to date.

Mike Tye, Spirit chief executive, said: “Whilst this short eight week period of trading has benefitted from the milder winter weather, our Leased estate continues to make positive progress and we are confident that our Managed estate will continue to go from strength to strength.

“We remain focused on further improving the quality of our estate through investment in our people, properties, and licensees complemented by innovation, brand evolution, and selective acquisitions and disposals.”

Spirit’s interim results for the 28 weeks ended March 1, 2014 will be announced on April 24, 2014.