JD Wetherspoon PLC (LSE:JDW), the budget pub company, will be hoping it can continue the trend in the hospitality sector which has seen several players post resilient results in the face of several headwinds, most notably rampant inflation.
Reporting full-year results on Friday, October 6, the London-listed group will be hoping to follow the likes of The Restaurant Group, Mitchells & Butlers and Shepard Neame in reporting slight sales bumps, which in turn has resulted in share price gains.
Experiencing a positive year so far, Wetherspoon is up over 54% year-to-date, and in its fourth-quarter update, the company reiterated full-year profit guidance having experienced a sales increase of 11.5% in the first ten weeks of the quarter.
Over the first six months of 2023, over 380 pubs closed for good – around two every day – and considering most of these sites were independently operated, a trend which has resulted in larger companies, like the Jamie Oliver Group, focusing on expanding its venues.
Wetherspoon hasn’t always been akin to this tactic, often placing several of its struggling sites on the market, but with three new pubs opened this financial year, investors may be interested to see what expansion plans there are for the next twelve months.
Shares in Wetherspoon are up just under 1% on Friday, having opened trading at around 693p.