(Reuters) - British pubs group JD Wetherspoon (JDW.L) said good summer weather helped it to produce strong sales over the past few weeks.
The owner and operator of more than 900 pubs in Britain and Ireland said for the 11 weeks to July 9 2017 like-for-like sales increased by 5.3 percent.
Chairman Tim Martin said: “Sales have been good in the last 11 weeks, probably helped by unusually good weather.”
He also reiterated that the company expects that like-for-like sales of about 3 to 4 percent will be required to maintain profits at this year’s levels in its next financial year.
Like-for-like sales for the 50 weeks to July 9 edged up by 3.9 percent with total sales rising 1.9 percent.
Wetherspoon’s shares were up 1.7 percent at 1006 pence at 0712 GMT.
Sales at the pub chain have held up despite signs from other British companies that rising inflation has forced consumers to cut spending.
Investec, in a client note, said that despite the tough consumer backdrop, it believes JD Wetherspoon remains well positioned within the UK pub space, with its value proposition and well invested pub estate continuing to take market share. It has a “buy” recommendation on Wetherspoon.
Reporting by Rahul B in Bengaluru. Editing by Jane Merriman