Mitchells & Butlers have issued a profit warning after being hit with “unprecedented” cost increase and have said operating profits fell £98 million in the year to 30 September.
The All Bar One and Toby Carvery owner said they have been hit with weaker property valuations and higher wage bills.
Sales rose by £2.5 billion compared to £2,2 billion in 2022 and like-for-like sales grew 9.1%.
Phil Urban, chief executive of the group, said, “We are delighted by the continued strength of our trading performance and resilience in the face of unprecedented cost headwinds.
“We have achieved good growth in underlying profit, excluding government support, with like-for-like sales growth across all of our brands and record outperformance against the market.
“Whilst we remain mindful of the pressures that the UK consumer is facing, the strength of our sales growth alongside an abating cost environment gives us confidence for the financial year ahead.”