By Najat Kantouar
Fuller Smith & Turner, the U.K. pubs-and-hotels business, has announced a rise in pretax profit for the first half of fiscal 2024 despite high inflation. The company also revealed plans to buy back an additional one million A shares.
According to the latest financial statement released on Wednesday, pretax profit for the six months ended September 30 amounted to £14.9 million ($18.6 million). This represents a significant increase from the £10.7 million reported during the same period last year.
One of Fuller Smith & Turner’s preferred metrics, adjusted earnings before interest, taxes, depreciation, and amortization, also showed positive growth, reaching £34.8 million compared to £28.9 million in the previous year.
The strong financial performance was supported by a 12% increase in revenue, which climbed to £188.8 million from £168.9 million. This growth was driven by exceptional performances across the company’s estate.
To reward shareholders, the board declared an interim dividend of 6.63 pence per share, up from 4.68 pence in the same period last year.
Despite a challenging economic environment, Chief Executive Simon Emeny expressed confidence in the company’s trajectory. “Customers are increasingly seeking premium experiences when they are spending their money, and we have the benefit of the lucrative international tourist trade to come with inbound tourism still below coronavirus levels,” Emeny said.
Fuller Smith & Turner remains optimistic about the future and has exciting plans in the pipeline for the second half of the year.