Marston’s PLC (LSE:MARS)'s upcoming full-year results risk being clouded by focus on any guidance from the pub chain as to its expected hit from last month’s Budget.
Having already unveiled a 5.8% increase in sales for the year to September early last month, attention will no doubt be on Marston’s outlook following the late October Budget.
Marston’s already joined over 200 firms through an open letter earlier in November in slamming chancellor Rachel Reeves’ hike to employer national insurance contributions.
Business failures and job losses would “unquestionably” be prompted by the move, the sector warned, as a higher tax rate and lower threshold left lower-paying jobs “unviable”.
Rivals such as Young’s and Wetherspoons have also individually warned of surging costs in the wake of the Budget, equating to £11 million and £60 million respectively.
Investors will be bracing for news from Martson’s of the impact to its business, therefore.
Number-wise, Marston’s said in September that full-year underlying pre-tax profit was set to be in line with consensus of £40.5 million.
The disposal of its 40% share in the Carlsberg Marston's Brewing Company was said to have allowed a “material” reduction in net debt, which was expected to sit at £885 million.
Shares are up 15.6% for the year so far heading into the update on Tuesday, December 3.