Spirit in decent shape ahead of takeover by Greene King

STAFFORDSHIRE’S Spirit Pub Company has seen its profit before tax increase by 12% on a year by year basis in the 28 weeks to March 7.

Its unaudited interim results for the period show a profit of £25m, compared to £22m a year ago.

These may well be the Burton-upon-Trent firm’s final set of results before it is taken over by rival Greene King. The £760m agreed deal is expected to go through in the first half of this year subject to Competition and Markets Authority approval.

Spirit said its managed division performance has been strengthened by acquisitions. Like for like sales were up 1.5% and total net sales up 4.5%.

Its leased division remains in growth with like for like net income up 2.3%.

Spirit suggests the quality of the estate has improved through investment and disposals. Seven pubs were acquired in the period and £34m invested in the estate.
 
Mike Tye, Spirit’s chief executive officer, said: “We are pleased to report another strong half year performance at Spirit. 

“Our results reflect the success of our proven, clear and consistent strategy, which continues to deliver value for all our stakeholders. 

“We have made good operational and financial progress across both our managed and leased divisions, which have outperformed their respective markets and our expectations. Our consistent focus on investing in our estate, our brands and our people gives us a strong platform for future growth.
 
“Over the past few years we have fundamentally transformed the business, and while the market remains highly competitive, we have continued to gain market share and see significant further opportunity ahead.”