Marston's PLC (LON:MARS) has said its full year sales and profits ahead of last year, and the brewer and pubs operator is targeting further growth in 2018, although summer trading was subdued.
In an update for the year ended 30 September 2017, the FTSE 250-listed firm said like-for-like sales for its Destination and Premium pubs division were 0.9% above last year, while its Taverns business saw like-for-like sales 1.6% above last year.
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The group said that “more subdued summer trading and relatively stronger performance of wet sales compared to food sales was consistent with the market.”
It added: “A disciplined approach to pricing and promotions and good cost control contributed to the operating margin in Destination and Premium being only slightly below last year despite the continued cost pressures.”
Marston’s said like-for-like profits from its leased pubs are estimated to be up 1% with these wet-led community pubs continuing to benefit from greater consumer interest in local beers and craft drinks.
Marson’s said: “Our new pubs continue to open strongly and the performance of those opened in recent years remains good and in line with targets. “
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In Brewing, the firm said its own-brewed volumes increased by 6% demonstrating the strength of its brand portfolio and the acquisition of Charles Wells in May.
The group also said it has identified cost savings of approximately £5mln per annum, including the recently announced reorganisation of the pub operational structure.