Marston's sees improved performance from its pubs

Pub company Marston’s Taverns has seen improved trading at its pubs, although it remains cautious about consumer spending in the coming months.​

In an interim statement Marston’s said managed house like-for-like sales had improved in the 11 weeks of the second half by 2.7 per cent.

Year to date like-for-like sales - in the 43 weeks to the end of July - were 1.7 per cent ahead, with comparable food sales up 2.5 per cent and drink sales up 1.3 per cent, and a slight improvement in overall margin.

New build programme​

The firm said its new-build pub programme was on track, with 11 sites open and four in the later stages of construction.

As previously announced, 15 would open in the current financial year and it planned to open 20 in 2011.

Marston’s said that the performance of the 11 sites currently open was ahead of its targets, both in terms of sales and returns.

Leased pub arm​

At the group’s 1,671-strong leased pub arm like-for-like profits were down 4.0 per cent in the 43 weeks to 31 July, an improvement from the 4.5 per cent the company reported at its interims in May.

It said 86 per cent of the estate was let on substantive agreements. It had now signed up 88 operators to its new retail agreement, with plans to grow this to 100 by yearend.

Cautious optimism​

Concluding, Marston’s said: “Following the emergency budget in June we remain cautious about the consequential impact on consumer confidence. However, we are encouraged by our recent trading performance.”

“Our focus on value for money, high-quality pubs and local beers combined with clearly defined strategies for each of our trading divisions place us in a strong position to meet the forthcoming challenges.”

Mark Stretton is editor of BigHospitality’s sister publication M&C Report.​​