JD Wetherspoon took a £45 million hit in the first half of the year with repair and energy bills, wages and business rates soaring.
The pub said in the 25 weeks to 18 January like-for-like sales were up by 4.7% and “profits are likely to be lower” than the previous first half due to “hight than expected” costs.
Shares fell 7% in early morning trading on Wednesday.
Chairman Tim Martin said, “We are pleased with the sales growth in the financial year, and with the increased momentum in the second quarter.
Costs have been higher than anticipated, with energy, wages, repairs and business rates, for example, increasing by £45 million in the first 25 weeks.
“Profits in the first half are likely to be lower than the comparable period in the previous financial year.
If the current sales momentum continues, the company currently anticipates a full year trading outcome slightly below that achieved in FY25.
“We will provide updates as we progress through the financial year.”
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