The sunshine that kicked off the English summer did not last, not only to the disappointment of holidaymakers but also investors in Mitchell & Butlers (MAB). Shares in the restaurant and pub group fell more than 5 per cent after it revealed total sales growth had fallen to 0.3 per cent in the eight weeks to mid-September, primarily due to a fall in drink sales, compared with 2.6 per cent growth in the previous 10 weeks. Management blamed the poor weather over the period for discouraging Britons from heading to the pub.
Chief executive Phil Urban reiterated his previous concerns about cost inflation, and margins for the full year are expected to be below last year's. The company has also been reassessing its various locations, disposing of 79 sites, opening 13 new locations and remodelling 236 sites.
