Mitchells & Butlers (LSE:MAB), the owner of Toby Carvery, Miller & Carter and All Bar One, reported year-to-date like-for-like sales growth of 2.2% for the 42 weeks to 18 July.
Third-quarter trading was hit by extreme heat and the timing of Easter, which fell in the comparative period last year and created an estimated 0.8 percentage point drag on like-for-like growth.
Pubs and drink-led brands held up well, helped on some days by the football World Cup, while food-led chains Toby Carvery and Miller & Carter bore the brunt of the exceptional heat.
Total sales for the year to date rose 1.3%.
The group has accelerated its investment programme, completing 181 conversions and remodels and acquiring 10 new sites, including two leasehold properties in Germany and eight UK freeholds, alongside four freehold purchases at existing sites.
Cost inflation guidance remains unchanged at approximately £120m for the financial year.
Chief executive Phil Urban said the company's diversified portfolio had "moderated the impact of external factors" and, combined with its Ignite efficiency programme and investment strategy, left it "confident in delivering our full-year expectations".
Mitchells & Butlers said it expects a full-year outturn in line with consensus expectations.
News Intelligence what this means for the company
Mitchells & Butlers reported year-to-date like-for-like sales growth of 2.2% for 42 weeks to 18 July, with Q3 disrupted by extreme heat and Easter timing (0.8pp drag). The group reaffirmed full-year guidance in line with consensus despite the weather headwind, citing resilience in drink-led pubs (boosted by World Cup) offsetting weakness in food-led chains Toby Carvery and Miller & Carter. Management accelerated its investment programme with 181 conversions and 10 new site acquisitions, while cost inflation guidance remains at £120m for the year.
The reaffirmed full-year guidance suggests underlying momentum remains intact despite Q3 weather disruption, though the 2.2% year-to-date like-for-like growth sits below the 3.3% growth reported in the prior 28-week period, signalling some deceleration. The acceleration of capex and property acquisitions indicates management confidence, but execution risk on the enlarged investment programme and ongoing cost inflation headwinds remain material to delivery.
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