Fuller Smith & Turner PLC (AIM:FSTA) recorded growth across the board over the first half of the year and signalled optimism in spite of tax increases unveiled in last month’s Budget.
“Everything that is in our control is going well,” the pub chain’s chief executive, Simon Emeny, commented in a statement.
“We are in excellent shape, and despite the fresh challenges presented by the chancellor's recent budget, we remain positive and optimistic about the future.”
Revenue ticked up by 2.8% to £194.1 million during the six months to September, aiding a 21% jump in adjusted pre-tax profit to £17.6 million.
This came as food and drink sales climbed by 5.5% and 4.9% respectively on a like-for-like basis, while accommodation revenue increased by 4.9%.
Average pre-tax earnings at its pubs grew by 12% following the sale of 37 non-core tenanted pubs to Admiral Taverns, leaving Fuller, Smith & Turner with 185 managed businesses.
An interim dividend of 7.41p was declared, marking a 12% increase on the first half of last year.
Chairman Michael Turner added higher employer national insurance contributions, alongside wage increases, would “cause particular pain”.
“Over the years we have seen our wonderful industry plundered for an ever-increasing amount of tax - and once again, history has repeated itself,” he said
“The unintended consequences of these actions will be to drive inflation higher, put pressure on wages, and will drive many businesses to the wall.”