J D Wetherspoon (JDW) Q1 2025 TU earnings summary

Executive summary

• Like-for-like sales rose 5.9% in the first 14 weeks of FY25 compared to the same period last year, with bar and food sales up 5.7% and slot/fruit machine sales up 13.5%. Hotel room sales declined by 2.0%.

• Total sales increased 4.6% year-over-year, slightly lagging LFL growth due to pub disposals.

• Wetherspoon outperformed the CGA RSM Hospitality Business Tracker for 25 consecutive months.

• Record sales achieved in the period, with high staff retention.

Financial highlights

• Five pubs sold year-to-date, generating £2.4 million in cash inflow.

• Trading estate now consists of 797 pubs.

Outlook and guidance

• Taxes and business costs are expected to rise by approximately £60 million annually in 2025, including a 67% increase in national insurance contributions.

• Cost inflation, which had previously abated, has jumped again post-budget; price increases are anticipated across the sector.

• Management remains confident of a reasonable outcome for the year, though forecasting is more challenging due to increased costs.