Fuller’s reports turnover and profit rise in First Half: Fuller’s has reported sales rose 6% to £209.3 million (2016: £197.6 million) in the 26 weeks ended 30 September. Adjusted profit before tax was up 4% to £23.8 million (2016/17: £22.8 million). Ebitda was up 4% to £37.6 million (2016/17: £36.3 million). Managed pubs and hotels outperformed the market, with like-for-like sales growing by 3.6% and a rise in like-for-like accommodation sales of 8.2%. Tenanted Inns like-for-like profit increased 3%, with 11 pubs sold and average Ebitda per pub rising 7%. Total beer and cider volumes for The Fuller’s Beer Company rose 1% against a flat UK market. The company has a pipeline of four managed sites. Of current trading, it reported managed pubs and hotels like-for-like sales are up by 3.7% for 33 weeks. Tenanted Inns like-for-like profit rose 2% for 33 weeks and total beer and cider volumes increased 1% for 33 weeks. Two new sites in key transport locations – Euston (The Signal Box) and Liverpool Street (The Parcel Office) – are due to open in 2018. Chief executive Simon Emeny said: “I am delighted to be reporting good financial figures with all the group’s key measures moving in a positive direction. This growth has been driven by our managed pubs and hotels, which generate the largest share of our turnover and profit and have once again outperformed the market. The last six months have seen some unprecedented influences on the business, not only in our particular industry, but in the context of the wider UK economy and global political scene. I cannot remember a time when we have faced such an array of additional cost pressures, particularly in our managed pubs, starting with the 26% rise in business rates. The pub sector is now responsible for 2.8% of the total business rates bill, despite only generating 0.5% of total turnover. Over and above this increase, we have met with rises in the Apprenticeship Levy and National Living Wage rates, but in spite of this, we have continued to grow, delivering consistently strong returns for our shareholders. This is due to a clear, shared vision and a commitment to delivering an outstanding customer experience across the business. In the 33 weeks since 1 April 2017, like for like sales in our managed pubs have risen 3.7%, while like for like profit in our Tenanted Inns is up 2% and total beer and cider volumes in The Fuller’s Beer Company are up 1%. Although we have already faced and absorbed a number of prevailing headwinds, future economic and political uncertainty may still cause further challenges, however we are well-placed to face these. I am confident that our long-term vision, clear strategy and commitment to ongoing investment, delivering an outstanding customer experience throughout the business and creating an atmosphere in our pubs that cannot be rivalled at home, will ensure our further growth.” Chairman Michael Turner added: “I am pleased to be announcing another good set of results with total revenue rising 6% to £209.3 million (2016/17: £197.6 million) and adjusted profit before tax rising 4% to £23.8 million (2016/17: £22.8 million). These top line figures are complemented by a rise in adjusted earnings per share, a key metric for our shareholders, of 5% to 34.22p (2016/17: 32.44p). We continue to see unprecedented activity in the external political and economic environment, on both a national and global scale, which makes for challenging times. However, our long-term clear and consistent strategy, coupled with a balanced business led by a first-class team, helps us ride out these storms. All parts of the business are showing revenue growth and our managed pubs and hotels have once again been the star of the show. We continually look to improve in all areas of the customer experience and this dedication to making sure each customer has an exceptional visit to our pubs and hotels has seen the business flourish and our like for like sales rise 3.6% (2016/17: 3.4%). Our Tenanted Inns division has also produced good results during the period, with the result of an in-depth review of all aspects of our model leading to a new agreement, improvements in pub design and a renewed focus on the partnerships we forge with our Tenants. There is more work to be done but early indicators, particularly with regard to our new six-year turnover agreement, look to be promising and mutually beneficial for both parties. Volumes in The Fuller’s Beer Company have risen but the trading environment remains tough and highly competitive. While investments in the Brewery are further improving efficiency, margins are coming under increasing pressure. We are committed to delivering excellent and delicious premium beers and ciders and the new look for London Pride will help to underpin the iconic status of our flagship brand. Our success is, as ever, down to our people. Our structured career paths and commitment to recruiting, developing and retaining great people help us to ensure that we have the best team in the industry. These results are down to that team and I thank them all for their continued contribution and dedication.” Of more recent year-end trading Emeny added: “Since the year end we have transferred The Mayfly in Stockbridge from our Tenanted Inns division to managed pubs and we will be doing the same with The Windmill in Southwark imminently. As we head towards the important Christmas period, the business is in good shape. During the first half of the year, we completed the roll out of a new customer booking and enquiry management system. Our teams can manage all bookings regardless of source in one place and auto-confirmed online covers (i.e. those that do not involve any manual process) are up by 46%. Within Fuller’s Inns, The Stable is performing in line with expectations and we have fully integrated all supply chain and financial processes. We continue to learn from this youthful brand, particularly with regards to lively digital marketing where the brand uses both generic campaigns and bespoke activity across its 17 restaurants.”