Wetherspoon says lower costs have boosted sales

15th July 2009, 11:51am

Wetherspoons has said that lower than expected energy, labour and marketing costs have helped the company’s finances.

In a trading statement, the national pub chain said sales have been boosted and operating margins for the second half of this financial year are now 10% higher than earlier projections.

For the 11 weeks to 12th July 2009, like-for-like sales decreased by 0.8%, which the company explained: "Sales in the first six weeks of the fourth quarter last financial year benefited from a major marketing campaign offering reductions in prices for bar and food products. Like-for-like sales in the equivalent six-week period this year decreased by 2.9%. In the remaining five weeks, like-for-like sales increased by 2.0%." 

Wetherspoon said it has opened 33 pubs during the financial year so far and expects to see a further six openings by the end of the year. 

The statement concluded: "In the light of our sales and margin performance, we are confident about the outlook for the current financial year. As a result of the performance of our pubs, and the full year effect of pubs opened this year, combined with lower costs in areas such as utilities, the board is optimistic about prospects for the next financial year."

Related Articles:

• 04 Nov 2009 - JD Wetherspoon sees an 'encouraging start' to first financial quarter

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