The company revealed that pre-tax profits jumped by 73.5% to £73.9m for the year to July 28, compared with the previous year
Wetherspoon has reported a substantial profit surge over the past year, with booming customer demand contributing to a significant revenue increase.
The chain saw its pre-tax profits rise by 73.5% to £73.9m for the year ending July 28, outperforming the previous year’s figures. This comes alongside a 5.7% revenue spike to £2.04bn, driven by a 7.6% climb in like-for-like sales. The improved rate of sales at its pubs was slightly offset by a decrease in its number of pub sites, after the group sold 18 pubs and terminated the lease on a further nine. It also opened two sites.
Three more pubs are currently listed as for sale – the Pontlottyn in Abertillery, the Ivor Davies in Cardiff and the Market Cross in Holywell. Just because a pub is for sale, it doesn’t mean it will definitely go on to be sold – and even if it does, it could end up still being run as a pub.
There are 14 more pubs under offer: The Asparagus in Battersea, the Wrong ‘Un in Bexleyheath, the Gate House in Doncaster, the Jolly Sailor in Bristol, the Mock Beggar in Moreton, the Alfred Herring in London, the Cross Keys in Peebles, the Sir Norman Rae in Shipley, the White Hart on Todmorden, the Span Lane Vaults in Chesterfield, the Lord Arthur Lee in Fareham, the Regent in Kirkby, the Sir Daniel Armjs in Swindon and Hain Lane in St Ives.
Tim Martin, the chairman of JD Wetherspoon, said: “Sales continue to improve. In the last nine weeks, to September 29 2024, like-for-like sales increased by 4.9%. The company currently anticipates a reasonable outcome for the current financial year, subject to our future sales performance.”
Charlie Huggins, manager of the ‘Quality Shares Portfolio’ at Wealth Club, said: “Wetherspoons has enjoyed a good year, reporting a significant recovery in sales and profits and a return to the dividend register. With many pub and restaurant companies struggling in the current environment, this is an impressive performance.
“Despite the challenging economy, consumers are still spending. However, they are becoming increasingly discerning. Wetherspoon’s commitment to low prices and doing the basics well are helping to keep punters loyal.
“The backdrop still remains very difficult, with the rise in wages posing a considerable cost headwind for the sector. But Wetherspoons looks better placed than its rivals to shoulder this. With interest rates now starting to come down and inflation moderating, the outlook for the consumer also looks better than it has for some time.
“In an environment where the strong seem likely to get stronger, Wetherspoons looks well placed to grow market share and sustain its recent sales momentum.”
