E-Malt.com News article: UK: Marton’s blames poor summer weather for drop in profits

Brewer and pub operator Marston’s has blamed the poor summer weather for an expected drop in profits, Morning Advertiser published October 4.

It has warned profits for the year to 29 September are likely to be below expectations.

Marston's said flood repair costs, poor summer weather and increasing interest rates had all hit hard.

The brewer and pub operator was one of the worst hit by the floods in June and July with 150 of its pubs affected.

Five of its pubs are still shut.

A trading statement said that with the exception of the poor weather, trading had been in line with expectations.

The company believes the smoking ban has had no discernible impact on trade to date.

It believes well invested pubs with good service will continue to thrive in the winter months despite the ban.

Food sales continue to grow and have fuelled a 4.6% rise in like-for-like sales in its managed estate – Marston’s Inns and Taverns.

Food sales now represent 34% of total sales – up 13.3% on last year.

Average profits per tenanted pub (Marston's Pub Company) were up 13% after allowing for the affect of the sale of 279 sites to Admiral Taverns.

Volumes at Martson’s Beer Company were up 6% overall, with strong performances from Martson’s Pedigree and Jennings Cumberland Ale

The company purchased 28.1 million shares at a total cost of around £120m over the year.


05 October, 2007