Marston’s profits from value for money appeal

In the context of the currently difficult times for the pub trade Marston’s enjoyed a small uplift in recent weeks, particularly in its managed pubs division and in its beer sales.

The pub and brewing company said that its beer sale volumes were up 16% in the first half of its financial year (the 26 weeks until 4th April). It attributed this to the increasingly popularity of regional beers including Pedigree, Jennings and Banks. The announcement also comes after it took on the Wychwood brewery last April.

In the past 8 weeks Marston’s managed pub division rose 3.1% following on from a 1.8% decline for the 27 weeks to 13th April. The cautious economic mood has had a mixed impact on Marston’s trade because, although the pubs trade is facing many challenges, cautious consumers seem to be increasingly favouring the kind of value for money appeal which Marston’s prides itself on.

Marston’s has pubs in several regions, including a high concentration in its home turf of the Midlands. Its pub brands include Pitcher & Piano, Two for One, Tavern Table. The company also praised its tenants and lessees who, overall, have recently achieved stable underlying profits.

Marston’s will announce its full interim results for the 26 weeks to 4th April, on 22nd May. Despite its caution it is predicting that it is on track to meet its expectations for the financial year.

16 April 2009