Difficult trading in December has prompted The City Pub Group PLC (LON:CPC) to caution it will miss the market’s profits expectations.
Sales over 2019 rose by 31% to £59.8mln and by 1.7% like-for-like, but December was hit by the election uncertainty, higher wage costs, heavy rain and the impact of the strikes on South-West trains.
City Pub added the comparative period was also very strong, while two major refurbishments were completed too late in the year to meaningfully contribute.
Profits for the year are now expected in a range of between £9.1mln and £9.2mln, which is still 15% ahead of 2018.
The AIM-listed group remains upbeat on the current year as there will be full-year contributions from five refurbished pubs including Parsons Green (its most successful new opening to date) with three new big developments also due to open later in the year.
Broker Liberum lowered its price target to 255p from 280p but kept its 'buy' rating.