Marston's Share Discussion Threads

[skinny] 22/7/2015 07:02

We have continued to make profitable progress in line with our expectations.

In Destination and Premium, like-for-like sales for the 41 week period were 1.7% ahead of last year, including like-for-like food sales growth of 1.6% and like-for-like wet sales growth of 1.6%. In the last 10 weeks of the period, like-for-like sales are up 2.0%. Operating margin is slightly above last year and we remain on track to complete 25 new-build pub restaurants in the current financial year.

In Taverns, like-for-like sales for the 41 week period were 1.7% ahead of last year and in the last 10 weeks of the period, like-for-like sales were up 2.0%. Our franchise business continues to perform strongly and now operates in around 550 pubs.

In Leased, profits for the 41 week period are estimated to be in line with last year. Average profit per pub was up 4%, reflecting our higher quality leased estate.

In Brewing, own-brewed beer volumes, excluding Thwaites, were up around 4% compared to last year. Including Thwaites, own-brewed beer volumes are up 10%.

Net debt and cash flow are in line with expectations.

The recently announced Government plans to introduce a mandatory Living Wage by 2020 are consistent with our expectation that the gap between the National Minimum Wage and the Living Wage would be closed over time. The additional cost of meeting the higher target of £9 per hour by 2020 will mean that wage costs will be modestly greater than we had expected, but the impact compared to our plans is mitigated by the fact that we had anticipated increases above the rate of inflation, and the lower rate of corporation tax from 2017. Our view remains that Government should prioritise taxation and business rate reductions to reduce the cost of doing business and increase consumer confidence.


more....

[skinny] 16/7/2015 10:14

Numis seem to still be reasonably positive on the sector after the budget.

Numis Add 158.25 157.90 180.00 180.00 Retains

[janekane] 23/6/2015 05:42

Sorry
I didn't want to be rude but what's the point of having a discussion BB with a blank post as an answer
Again thanks for your reply
JK

[r ball] 18/6/2015 14:57

Janekane

Sorry, I meant was it a read across from the excellent results from Fuller Smith & Turner.

[janekane] 18/6/2015 13:16

You any relation to Ed if you are it certainly explains your inability to answer a strait forward question
WAC

Ps Ed got his just deserts
He certainly did not expect the great British public to tell him they do not suffer fools

[janekane] 07/6/2015 16:34

1618
Explain please

[r ball] 05/6/2015 07:33

fst read across?

[janekane] 24/5/2015 05:28

It may be but the share price is at an alltime high and £2+ is not impossible in this bull market

[irnbru2] 23/5/2015 23:03

£2, is a big ask.

[janekane] 23/5/2015 20:32

Hope so an share price above £2 in the next few months

[hyden] 23/5/2015 18:54

Thanks, Skinny. Sounds as if the re-rating should continue, then. :-)

[janekane] 22/5/2015 17:23

have a nice bank holliday folks

[skinny] 22/5/2015 16:49

That's worrying :-)

That explains why I've just spent ten minutes going through today's emails to no avail - age eh! :-)

[jeffian] 22/5/2015 16:47

Or you could read #1602 above!

[skinny] 22/5/2015 16:24

I read an article earlier basically saying that the big boys (sic) aren't any more and are not in a position to bid for MARS or GNK - also a tie up between the latter was largely ruled out due to competition issues - ironic in this industry - I'll see if I can find the article.

[redartbmud] 22/5/2015 16:21

jane

Given the choice, I believe that their preferred investment is the Mars bar.

Couldn't resist.

red

[jeffian] 22/5/2015 16:21

I don't think there's a hope of C&C buying MARS. They got blown out of the Spirit bid by GNK. They have troubles of their own. The list of potential buyers for MARS is NOT infinite. They trade at a premium to NAV (unlike ETI, for example, who trade at a 54% discount to NAV) so unlikely to appeal to a financial buyer looking for 'value'.

[skinny] 22/5/2015 16:20

Tipped in IC - not always a good thing!

[janekane] 22/5/2015 16:12

Dozens of potential institutions and other Brewers
C and C (magners/tennents) for one
The list of potential buyers is infinite theirs more money stuck in bank vaults than Mars monetary value

[janekane] 22/5/2015 14:23

Theirs plenty of institutions with mountains of cash looking for a good home to invest
Mars fits that bill
It's a very attractive proposition

[jeffian] 22/5/2015 10:25

re #1599,

Marstons and Greene King, who have both grown from their regional roots (GNK - East Anglia; MARS - West Midlands) via the acquisition opportunities afforded by the Beer Orders to become truly national companies are the 2 clear winners in the takeover activity of the past couple of decades. The big pubco's - ETI and PUB - which once ruled the roost have been laid low by the change in attitude to the debt-leveraged model and recent legislation attacking the 'tie' which provides a significant portion of their income. Only MARS and GNK have stayed true to the old 'vertically integrated' brewery model - i.e. they brew the product, wholesale it, deliver it and also control the retail outlets that sell it. They may well continue to make selective acquisitions of pubs and beer brands themselves but it is hard to see "the prospect of a takeover at these low prices make us look very attractive to some of our bigger competitors". What bigger competitors? A merger of the two of them would undoubtedly now raise competition concerns. Who else would want them? The pubco's are dead in the water (if anything, MARS might go for them as GNK has with Spirit). Unlikely, IMHO.

[redartbmud] 22/5/2015 07:58

jane

Your PR skills are excellent. Are you paid directly by Mars or through an agency?