Fuller’s cheers higher sales but takes £5m hit from train strikes

Pub chain Fuller’s has cheered a jump in sales and profits despite battling inflation and seeing Tube and train strikes take a £5 million bite out of trade.

The boss of the group said he is optimistic about the future amid hopes that tourism will rebound and cost pressures will ease.

The pub and hotel chain said its adjusted pre-tax profit surged to £12.7 million in the year to April, from £7.2 million the year before.

However, despite the uplift, it is still lagging far behind the £43 million made in 2018 and 2019, before the pandemic struck a massive blow to the hospitality sector.

Chief executive Simon Emeny said: “It has taken a long while for the business to emerge from the ravages of Covid and disruption around the train and Tube strikes.

“But we have got very strong for demand for our pubs.

“We operate pubs in generally very affluent areas and our customers are coming with friends, family or colleagues – it’s an affordable treat.”

He said there has also been a big increase in people pre-booking pub visits, with 25% of its customers now doing so.

Fuller’s, which runs nearly 400 pubs around the UK, said a resurgence in international tourists and workers returning to the City gives it confidence in its aim to return pre-pandemic profitability.

Sales also jumped by a third, to £336.6 million, last year amid the rebound in pub-goers and tourists, and as it cashed in on sports events such as rugby at Twickenham.

It also increased prices across its drinks by about 6% this year, in a bid to combat double-digit food and drink inflation.

Fuller’s said that railway strike action dealt an estimated £5 million hit to sales over the latest financial year.

Train and Tube strikes were particularly detrimental in central London, home to a large proportion of the chain’s sites, with commuters choosing to work from home instead, it said.

“Unfortunately, the unions are making sure that we can’t trust the service on a regular basis, which is frustrating,” Mr Emeny said.

He added that the summer season is an “exciting” period for the group, with consumers likely to flock to its pub gardens.

This year’s Rugby World Cup is also expected to give the business a boost.