Group LFLs up 7.6% at Whitbread

By Martyn Leek, M&C Report

- Last updated on GMT

Related tags Whitbread

Whitbread: like-for-likes up 7.6%
Whitbread: like-for-likes up 7.6%
Whitbread has this morning unveiled strong comparable sales growth, with an increase in group like-for-like sales of 7.6%.

Whitbread, the leisure group behind Costa Coffee, Premier Inn and a clutch of pub restaurant brands, has this morning unveiled strong comparable sales growth, with an increase in group like-for-like sales of 7.6%.

In an interim management statement for the 13 weeks to 3 June the company said it had started the new financial year strongly, with "continued momentum". Total sales were up by 13.5%, however it warned that it did not envisage the "consumer climate becoming any easier".

Performance at Premier Inn and Costa Coffee were the highlights - with like-for-like sales up at both brands by 10.5% and 8.5% respectively, and total sales up by 14.1% and 26.9%.

Whitbread's pub restaurants division posted a 3.6% rise in like-for-like sales and 4.2% growth in total sales.

The company said that Costa had delivered another "outstanding performance" and revealed it now had two million members for the Costa Coffee Club, which was launched in March. The club also accounts for more than 40% of all transactions.

Beefeater, Brewers Fayre, Table Table and Taybarns, Whitbread's pub restaurants brands attracted a total of 5.2% more customers over the past three months - which it said was down to its "attractive price/value proposition".

The company also said that like-for-like revenue per available room, a key performance indicator in the hotel industry, was up by 9.1% at Premier Inn. It put the success of the chain down to a Premier Offers deal, where rooms were available for £29.

In a statement, Alan Parker, the outgoing chief executive, said: "Last year, we acted promptly to increase market share, reduce costs and conserve cash.

"The positive momentum generated by these decisive actions has continued into 2010/11. However, we are aware that comparables get more challenging as the year progresses and we are not planning on the consumer climate becoming any easier."

"In these times of austerity, our strategy of value for money hospitality brands in growing segments of the market has put us in a position of relative strength. We intend to further increase our market share by improving occupancy in our hotels and customer volumes in our restaurants and coffee shops."

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