Sales up at Butcombe boosted by loyalty and good weather

pints at the Trout pub in Buckland Marsh, Oxfordshire, Butcombe Group
Encouraging results: Like-for-like sales up 11% for Butcombe Group (Credit: Butcombe Group)

Bristol-based pub operator Butcombe Group has seen a strong start to the year with like-for-like sales in its managed estate up by 11.1%.

Butcombe Group, which rebranded from Liberation Group at the end of 2024, reported growth in all three categories of Food (10.3%), Drink (13.3%) and Accommodation (5.3%).

It said its loyalty programme was giving the group “significant advantage” in the market and 22% of total sales.

Good spring weather also provided an early benefit for its external spaces, with around 40% of its covers now outside.

The company reported the figures as it unveiled its full results for the year ended 25 January 2025, which saw record revenues of £149m versus £144.4m in the previous year.

The group had already revealed strong like-for-like sales of 7.8% in its managed estate for the year.

Encouraging results

It said that over the year it invested in ten pubs and also embraced changing consumer trends by investing in menu development with all day brunch, small plates, sandwiches and classics.

The company also highlighted the rollout of Butcombe Boutique Inns, its premium room offering, which was “driving encouraging results.”

Brewing and Drinks achieved 8.4% growth in the UK Free Trade - its largest drinks channel for the year. The division was broadly flat versus last year in Q1.

Butcombe Group CEO Jonathan Lawson said: “We are delighted to report another strong year across all divisions of Butcombe Group.

“We have delivered record revenues and sector-leading like-for-like growth of 7.8% in our managed pubs, a clear indication of our continued operational strength and effective strategic investments.

“This result is especially pleasing considering the strong comparatives we faced against last year.”

Substantial progress

Lawson said that the company had made substantial progress in harnessing its data and loyalty capabilities, which have “significantly enhanced” customer understanding and engagement.

He said that “encouragingly” the company had carried this momentum into the new financial year.

“Notably, we delivered our highest-ever trading day on Mother’s Day, surpassing our previous record set on Christmas Day, further highlighting the strength of our proposition,” he said.

“While we remain mindful of the ongoing inflationary pressures and changes to national insurance contributions that impact the broader hospitality sector, we are confident in our strategy.

“Our continued focus on premium segments, operational efficiencies, and customer-centric innovation positions us strongly for sustained EBITDA growth and margin enhancement through the rest of the year.”