JD Wetherspoon Unveils Plans for 15 New Pubs Amidst Financial Update

Pub chain JD Wetherspoon has issued a profit warning after revealing costs have soared by £45 million during its first half. The company disclosed it has been grappling with expenses exceeding expectations in the opening 25 weeks of its financial year, driven by escalating wage bills and business rates. The group confirmed first-half profits are "likely to be lower", with full-year results also anticipated to fall "slightly" beneath last year's figures, should current trading patterns persist. This cautionary statement emerges despite an uptick in like-for-like sales growth throughout the festive period, climbing to 6.1% in the 12 weeks ending January 18, compared with 4.7% in the preceding three months. Article continues below ADVERTISEMENT During the peak Christmas trading period, sales surged 8.8% in the three weeks leading up to January 4. Throughout the year so far, the business has launched six new establishments – at London Bridge station, Merchant Square in Paddington, Kenilworth, Basildon, Wetherby and Beaconsfield. The firm expects to unveil a total of 15 venues during the current financial year. Six establishments have been offloaded this year, generating a net cash inflow of £3.3 million. The company presently operates a managed trading estate comprising 794 pubs. Article continues below ADVERTISEMENT Additionally, eight franchised outlets have launched in the year-to-date, taking the total to 16. A further 10-15 are projected to open during the remainder of the financial year, including the firm's inaugural opening in mainland Spain, at Alicante Airport. Article continues below ADVERTISEMENT The day's biggest headlines in UK and World news Invalid email We use your sign-up to provide content in ways you've consented to and to improve our understanding of you. This may include adverts from us and 3rd parties based on our understanding. You can unsubscribe at any time. Read our Privacy Policy Get More of Our News on Google Set Daily Express as a 'Preferred Source' to get quicker access to the news you value. Wetherspoon chairman Tim Martin stated: "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.