Fuller's sales lifted by good weather, World Cup

(Sharecast News) - Pub group Fuller, Smith & Turner reported solid sales growth on Tuesday as it benefited from good weather and the World Cup.

In a brief update for the 16 weeks to 18 July ahead of its annual general meeting, the company said its positive trading performance has continued, with like-for-like sales growth of 5.1% and good year-on-year profit conversion.

Executive chairman Simon Emeny said: "We have continued to trade well since the start of the new financial year - making the most of opportunities that have arisen from the combination of good weather, the World Cup and our extensive programme of summer activity in our well-invested gardens.

"We will continue to deliver our clear vision and long-term strategy to the benefit of our customers, our people and our shareholders. We remain confident and optimistic about the future and our long-term success."

At 1025 BST, the shares were up 0.5% at 746p.

Dan Coatsworth, head of markets at AJ Bell, said: "The pub trade badly needed a lift and the combination of sunny weather and a successful showing for England at the World Cup seems to have provided it with one.

"The latest update from Fuller, Smith & Turner reveals solid sales growth thanks to these factors and, crucially, it is converting this uptick in business into profit and cash flow.

"Fuller's premium focus gives it more scope to pass on rising costs to punters. Initiatives like training its own chefs in-house and retrofitting kitchens from gas to electric are helping to drive efficiency and protect margins.

"Investors may not quite be in party mode, but they were certainly of a mind to give Fuller's a modest toast based on this encouraging update."

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