(For the 28 weeks ended 11 April 2020)
Highlights
- Strong operational performance demonstrated before lockdown
- Rapid and effective action taken to protect guests and team members and to reduce costs
- New financing arrangements provide security and flexibility
- Experience of German business provides clear path for re-opening
- Well positioned to benefit from recovery on re-opening
Reported results
- Total revenue of £1,039m (HY 2019 £1,186m)
- Operating (loss)/profit of £(51)m (HY 2019 £140m)
- (Loss)/profit before tax of £(121)m (HY 2019 £75m)
- Basic (loss)/earnings per share of (25.0)p (HY 2019 14.3p)
Trading results
- First half trading includes nearly four weeks of enforced closure due to Covid-19
- Like-for-like salesa growth of 0.9% before closure remained consistently ahead of the marketb
- Adjusted operating profita £108m (HY 2019 £151m)
- Adjusted earnings per sharea 7.2p (HY 2019 16.1p)
Balance sheet and cash flow
- Unsecured committed financing facilities extended by £100m to total £250m to 31 December 2021
- Capital investment of £82m (HY 2019 £90m), including 2 new site openings and 166 conversions and remodels (HY 2019 208)
- Cash flow of £58m (HY 2019 £23m)
- Full property valuation and impairment review undertaken resulting in an overall decrease in book value of £524m
- Net debt of £2.2bn including £543m of lease liabilities following adoption of IFRS 16
Phil Urban, Chief Executive, commented:
"The business was performing very well before the enforced closure in response to Covid-19, building on the strengths of our estate of mainly freehold properties, our diversified and well-loved brands and our team's industry leading operational skills. These assets, coupled with our early experience of re-opening in Germany, give us a clear plan for re-opening and ensure that we are well placed to continue to bring people and communities together and to keep Mitchells & Butlers at the forefront of the eating and drinking-out market."