Mitchells & Butlers (MAB) Q3 2024 TU earnings summary

Executive summary

• Like-for-like sales growth of 5.7% year-to-date, with all brands in growth and performance ahead of the market.

• Total sales increased by 7.3% in the year to date, reflecting strong trading despite wet weather and easing inflation.

• Headline sales growth moderated in Q3 to 3.4% as inflationary pressures eased and Easter timing shifted.

Financial highlights

• Food like-for-like sales up 6.0% and drink up 5.3% year-to-date; Q3 growth slowed to 2.6% for food and 4.0% for drink.

• Most recent 13-week like-for-like sales growth was 4.2%, excluding Easter impact.

Outlook and guidance

• Net cost headwinds of approximately £55m expected for the year, mainly from higher labour costs, partly offset by lower energy costs and slowing food inflation.

• Confident in meeting full year consensus expectations, with margin rebuilding anticipated.