As the year end approaches, like-for-like (LFL) sales are up 2.1% with fourth quarter sales rising 1.4% after a flat prior period, supported by favourable weather and robust Bank Holiday trading.
Management remains confident of meeting market expectations, with underlying operating profits forecast to remain broadly flat at around £329mn.
Cost headwinds are expected to ease by £25mn to £95mn next year, with management initiatives supporting expectations for further operating profit growth.
The shares rose 1% in early trading.
Our view
HL view to follow.
Mitchells & Butlers key facts
All ratios are sourced from LSEG Datastream, based on previous day’s closing values. Please remember yields are variable and not a reliable indicator of future income. Keep in mind key figures shouldn’t be looked at on their own – it’s important to understand the big picture.
This article is original Hargreaves Lansdown content, published by Hargreaves Lansdown. It was correct as at the date of publication, and our views may have changed since then. Unless otherwise stated estimates, including prospective yields, are a consensus of analyst forecasts provided by LSEG. These estimates are not a reliable indicator of future performance. Yields are variable and not guaranteed. Investments rise and fall in value so investors could make a loss.
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