City Pub Group shares have slumped due to Brexit and the impact of a no-deal. The pub group said they are “reining in” their expansion plans as a result.
Clive Watson, founder and executive chairman of the South East-focused pub group said, “We cannot ignore the uncertainty in the market due primarily to Brexit and the potential impact of a no-deal.
“We are a management team that is focused on the long term and as such we believe it is prudent for us to rein in our expansion programme until there is more certainty.”
The pub group posted in the half year to 30 June, a 36% rise in total revenues to £27.1m, which was helped by the expansion plan that included four pub openings.
The company said progress has continued into the second half with sales up by 35% in the last 11 weeks, compared to the same period last year.
Watson said, “We’ve put money into ensuring we have slick, efficient food operations, as well as ensuring we cover the needs of our customers.
“Vegan and healthy foods continue to be key trends and we are stronger now because we have taken the time to review our offer.”
City Pub Group shares fell by 9% to 198p on Thursday.