Fuller’s has raised its annual profit expectations after reporting a 25% increase in adjusted first-half earnings, with stronger trading across its pubs and hotels and Christmas bookings running ahead of last year.
The London-based hospitality group generated £220.9m in revenue during the 26 weeks ended 26 September 2026, an increase of 6.5% from £207.5m in the comparable period.
Adjusted profit before tax increased to £28.2m from £22.5m, while statutory pre-tax profit rose to £28.5m from £21.1m.
Fuller, Smith & Turner reported like-for-like sales growth of 6.1% across its managed pubs and hotels, outperforming the wider market by approximately three percentage points.
Growth was recorded across its main trading activities, with drinks sales increasing 6.4%, food revenue rising 4.6%, and accommodation revenue improving 8.9% on a like-for-like basis.
The company benefited from favourable summer weather and the men’s football World Cup, both of which contributed to higher customer spending and demand across its estate.
Fuller’s estimated that these factors generated between £2m and £3m in additional profit during the period, alongside improvements resulting from its commercial initiatives.
Adjusted earnings per share increased 33% to 39.81p, supported by stronger profitability and the company’s continuing share buyback programme.
Executive chairman Simon Emeny said: “As we head towards the important Christmas period, we are pleased to have a strong pipeline of bookings, currently 16% ahead of the same time last year.”
The company now expects full-year adjusted pre-tax profit to exceed previous market expectations.
Acquisitions support wider expansion —
Fuller’s has been investing in its existing properties while acquiring additional pubs in established trading locations.
The group acquired 12 pubs during the first half for approximately £37.5m, including ten purchased from Stonegate Group and another institutional investor.
Eleven of the acquired locations are in London and one is in Bath, with nine joining the managed pubs and hotels estate and three operating as tenanted businesses.
The acquisitions expand a portfolio focused predominantly on southern England, where the company operates 194 managed pubs and hotels alongside 153 tenanted inns.
Fuller’s also invested £14.2m improving existing properties during the first half and plans to spend a further £19m during the remainder of the financial year.
The programme includes refurbishments, improvements to customer facilities, and the addition of 25 bedrooms at the Barrowboy & Banker near London Bridge.
Accommodation has become an increasingly important part of the group’s commercial offering, with revenue per available room increasing 9.3% during the reporting period.
Additional bedrooms and property improvements provide opportunities to increase revenue from existing locations without relying exclusively on higher food and drink sales.
However, acquisitions and capital investment also require financing. Fuller’s expects net debt excluding lease liabilities to rise during the second half as it completes the integration of the newly acquired pubs.
The group returned £15.2m to shareholders through dividends and buybacks during the first half, while increasing its interim dividend by 6% to 8.35p per share.
Its operating performance has remained positive since September. Like-for-like sales across managed pubs and hotels increased 5.8% during the first 32 weeks of the financial year, to 7 November.
Although hospitality operators continue to face employment costs and pressure on operating margins, Fuller’s results reflect its particular customer base, property portfolio, and the additional demand generated by summer trading.
The company expects its stronger first-half earnings, continued sales growth, and Christmas reservations to support full-year adjusted pre-tax profit above previous market forecasts.
