PUB operator Mitchells and Butlers has seen operating profit climb 7.3% to £322m for the full year ending September 25, it reports today.
Pre-tax profit was up 26.1% to £169m at the Birmingham-based pubco while the group reported a net cash inflow of £303m in the year.
Retained estate like-for-like sales were up 2.8% in the year, with like-for-like food and drink sales up 4.7% and 1.4%, respectively.
Retained Estate operating profit was £285m up 14% with margins also climbing slightly by 1.9% points to 17%.
Total sales for the full year were up slightly by 1.1% to £1,980m. Food sales increased by 4.5% but drink sales were down 0.7%, held back as a result of the disposal of drinks-led pubs during the year.
Chief executive Adam Fowle said: “We have delivered a very good set of results in challenging economic conditions with earnings per share up 26%.
“Excellent progress has been made against our strategic goal to turn Mitchells and Butlers into a food-led business by concentrating our industry leading brands on the informal eating-out market.
“This strategy continues to prove effective with 7% like-for-like food sales growth in the first eight weeks driven by customers trading up the menu.
“The company now has a strong balance sheet which, coupled with our brands and resilient trading platform, underpins our confidence in the future.”
