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The Markets
by Proactive
Proactive UK has moved.
Coverage of London’s small caps continues on proactiveinvestors.com
Go to Proactive UK
The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
Go to Proactive UK
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The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
Go to Proactive UK

Leisure, gaming and gambling

Whitbread shares climb on cautious optimism and buyback boost

It wasn’t quite a clean sweep, but the market has taken a glass-half-full view of Whitbread PLC's (LSE:WTB) latest results.

Shares in the Premier Inn owner jumped 4% in early trading as investors responded positively to signs that trading isn’t quite as soft as feared and to news of a further £250 million share buyback.

Adjusted pre-tax profit for the year to February 27 came in at £483 million, just shy of expectations, and earnings per share slipped 6% to 195p.

Performance in Germany continues to edge forward, with modest losses expected to turn into a profit this year.

Shore Capital called the results a “mixed bag”.

While revenues per room in the UK remain under pressure, the gap to the wider market is closing.

Cost-saving guidance has been upgraded, with the company now targeting £60 million in efficiencies this year.

The big picture? Growth remains the longer-term story, especially in Germany, but for now, it’s the buyback doing the heavy lifting.

The stock rose 106.89p to 2,701.69p.

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