Latest news with #sales
Yahoo
23 minutes ago
- Business
- Yahoo
Wetherspoon hails ‘standout' Guinness sales while breakfasts rebound
JD Wetherspoon (JDW.L) has revealed its sales rose in recent months as it hailed Guinness as a 'standout performer' and reported a rebound in demand for breakfasts. The chain, which runs 794 pubs in the UK and Ireland, said sales increased by 5.1% in the three months to July 20, compared like-for-like with the same period last year. The volume of sales recently overtook pre-pandemic levels, the company revealed, having previously flagged a slow recovery across its estate. It highlighted strong draught sales, particularly Guinness, as well as growth for wine and an improvement in spirits. Guinness maker Diageo (DGE.L) has consistently said demand for the Irish stout has been growing rapidly. Furthermore, good weather over the period boosted visitors, with a raft of Wetherspoon pubs benefiting from beer gardens. Wetherspoon's chairman Tim Martin said: 'Draught volumes are performing strongly with Guinness being the standout performer. 'On the food front, breakfasts, terribly slow post-pandemic, have recovered their lustre and are now well ahead. 'Chicken, also, has put in a clucking good performance and volumes in recent weeks are up by about 50% compared to pre-pandemic levels.' Wetherspoon is expecting to meet its profit forecasts for the year, despite warning over the impact of higher labour costs following increases to employers' national insurance contributions and the minimum wage. It has previously warned it is facing a £60 million hit from the higher business costs. Nonetheless, the group has said it plans to invest in its pubs over the year ahead, including staff rooms and gardens, and hopes to open another 30 sites. Sign in to access your portfolio
Daily Mail
an hour ago
- Business
- Daily Mail
Wetherspoon's sales boom as summer drinkers knock back prosecco, whisky and Guinness
JD Wetherspoon's sales are now exceeding volumes before Covid, as Britain's pubs enjoy increased footfall in the summer sunshine. Chairman Tim Martin told investors on Wednesday that sales of New Zealand wine and Italian prosecco have been 'shooting the lights out', while whisky volumes are 'significantly above pre-pandemic levels' as spirits prove increasingly popular. He also cited Guinness as the 'standout performer' in draft volumes, while food sales have been boosted by improved breakfast sales and 'clucking good' demand for chicken. It came as Wetherspoon's reported like-for-like sales growth of 5.1 per cent for the 12 weeks to 20 July, with improved footfall credited to 'favourable weather'. The result chimes with updates from UK stock market listed rivals on Tuesday. Fuller, Smith & Turner posted like-for-like sales growth of 5 per cent for the 16 weeks to 19 July, while Marston's saw revenue growth of 2.9 per cent for the 15 weeks to 12 July. Chairman Tim Martin told investors on Wednesday sales of wine from New Zealand and Prosecco form Italy have been 'shooting the lights out' Improved sales will be welcomed by a pub sector currently struggling against higher costs, largely driven by the introduction of higher employer national insurance contributions and a national living wage hike. Energy bills also remain painfully high for businesses. Martin said Wetherspoon's profits are expected to be in line with market expectations this year, 'notwithstanding the high tax and labour increases for the hospitality industry, which have been widely reported'. Wetherspoon's has opened three pubs and sold nine this so far this year, taking its total estate to 794 sites. It forecasts year-end net debt to hit £720million, with headroom, under existing facilities, of approximately £220 million. JD Wetherspoon shares are up by around 28 per cent since the start of the year. UK lead analyst at Robinhood Dan Lane said: 'The warm weather has clearly drummed up our thirst for prosecco and Guinness, in particular. 'Lifting Wetherspoon's volumes above pre-pandemic levels is an important milestone and it's encouraging to see food items follow the trend too. 'UK consumer confidence is on the up and just hit its highest point since December. If inflation resumes its downward journey after the summer and takes interest rates with it, JDW could get a further demand boost heading into the final stretch of the year. 'The only glaring concern is the debt pile but, for now, the market clearly thinks it's manageable enough to look past. 'JDW's share price performance in 2025 wouldn't look out of place among the Magnificent 7 and, if pub openings, refurbished sites and fresh gardens do the trick and pull us in over the summer, like-for-like sales could get a boost heading into the new trading year.'
Yahoo
an hour ago
- Business
- Yahoo
Luxury heavyweights struggle to shake off shopper fatigue
By Mimosa Spencer PARIS (Reuters) -LVMH and Kering are expected to report another drop in quarterly sales, deepening investor worries about a prolonged downturn in the $400 billion luxury market as brands face the threat of hefty U.S. import tariffs. The results, kicking off with LVMH on Thursday, will likely show that any revival in demand for pricey fashion in the key U.S. and Chinese markets remains elusive. Uncertainty unleashed by U.S. President Donald Trump's trade war has caused volatility in stock markets, weighing on consumer confidence. Trump's threat of 30% tariffs on imported EU goods risks hurting luxury houses that make products in France and Italy. They will be wary of lifting prices for U.S. consumers after signs that previous rounds of price hikes slowed demand. "The level of price increases has been too much" at a number of brands, alienating the "aspirational" middle-income shoppers, said Caroline Reyl, head of premium brands at Pictet Asset Management. LVMH's fashion and leather goods division, home to Louis Vuitton and Dior, is expected to show sales down 6% year-on-year, its fourth consecutive quarterly decline, according to a Visible Alpha consensus forecast. Gucci, Kering's main earner which is undergoing an overhaul, has struggled for twice as long and is seen reporting sales down nearly a quarter from a year earlier. After two years of slowing sales, unease about the health of the industry is growing, with customers balking at higher price tags. Shares of LVMH are down nearly 27% since the start of this year, while shares of Kering are down 15%. Shares of Hermes and Richemont, which cater to mostly wealthy clients, were little changed, with the former down 0.9% and the latter up 1.6% over the same period. LVMH, Europe's most valuable listed company as recently as January, has slipped to fifth place. "It seems that investors are starting to worry about the long-term structural attractiveness of the industry," UBS analysts said last week. Sales of handbags - previously a growth engine - have been weak as shoppers opt for timeless, investment-grade jewellery. Brands including Dior, Gucci and Chanel have recruited new designers, but it takes time for fresh styles to enter stores. LOWER-PRICED PRODUCTS Brands like Louis Vuitton and Prada are offering more products below $1,000, like a new hybrid ballerina-sneaker shoe, for example, and emphasising beauty products, said Bain consultants. But that carries risks. "The aspirational skew of the brand is unhelpful currently," said HSBC analysts, highlighting problems at Louis Vuitton. "Some inconsistencies, we feel, are likely starting to have consumers wonder." Consensus forecasts peg organic sales of LVMH down 3%, while Kering is seen down 13%; Hermes and Prada are expected to show a 10% rise, as Prada's Miu Miu label takes market share from rivals. Kering will report its results on July 29, while Hermes and Prada are due to report on July 30.
The Independent
an hour ago
- Business
- The Independent
Wetherspoon hails ‘standout' Guinness sales while breakfasts rebound
JD Wetherspoon has revealed its sales rose in recent months as it hailed Guinness as a 'standout performer' and reported a rebound in demand for breakfasts. The chain, which runs 794 pubs in the UK and Ireland, said sales increased by 5.1% in the three months to July 20, compared like-for-like with the same period last year. The volume of sales recently overtook pre-pandemic levels, the company revealed, having previously flagged a slow recovery across its estate. It highlighted strong draught sales, particularly Guinness, as well as growth for wine and an improvement in spirits. Guinness maker Diageo has consistently said demand for the Irish stout has been growing rapidly. Furthermore, good weather over the period boosted visitors, with a raft of Wetherspoon pubs benefiting from beer gardens. Wetherspoon's chairman Tim Martin said: 'Draught volumes are performing strongly with Guinness being the standout performer. 'On the food front, breakfasts, terribly slow post-pandemic, have recovered their lustre and are now well ahead. 'Chicken, also, has put in a clucking good performance and volumes in recent weeks are up by about 50% compared to pre-pandemic levels.' Wetherspoon is expecting to meet its profit forecasts for the year, despite warning over the impact of higher labour costs following increases to employers' national insurance contributions and the minimum wage. It has previously warned it is facing a £60 million hit from the higher business costs. Nonetheless, the group has said it plans to invest in its pubs over the year ahead, including staff rooms and gardens, and hopes to open another 30 sites.
Reuters
an hour ago
- Business
- Reuters
J D Wetherspoon reports rise in sales as warm weather draws crowds
July 23 (Reuters) - British pub group J D Wetherspoon (JDW.L), opens new tab reported a 5.1% rise in like-for-like sales for the 12 weeks to July 20 on Wednesday, attributing the growth to higher footfall at its pubs and stronger demand for drinks thanks to good weather. Favourable weather across Britain in recent weeks boosted sales and traffic in watering holes such as those operated by the pub chain, commonly known as "Spoons". "Sales volumes, which were very slow post-pandemic, have recently overtaken pre-pandemic levels," Chairman Tim Martin said in a statement. The company, which operates 794 pubs across the UK and Ireland, said it expects the full-year profit to be in line with market expectations despite higher costs from tax and wage hikes.
