Punch Pubs Group has reported an uplift in revenue to £158.1m, for the 28-weeks to 26 February 2023, with a stronger performance in the second quarter compared to 2022.

The group, which owned 1,267 pubs at the period end, has reported revenue for the first half of 2023 of £158.1m, up from £142.6m for the comparable period in 2022.

For Q2 alone, total revenue was £66.1m for the 12-week period, compared to £56.4m in Q2 2022.

Punch said the conversion of its pubs from leased and tenanted over to its management partnerships estate had contributed to the increased revenue.

It has converted 71 pubs since August 2021 but noted the rate of conversions has now slowed as it takes the time to select and build the next pipeline of pubs for investment.

EBITDA for the period was half-year £37.5m, down from £38.6m in 2022, of which £38.9m was classed as underlying EBITDA, versus £39.7m last year – a period which included the benefit of the temporary reduction in VAT, as well as lower energy costs.

Profit for the 28-week period was £1.9m, down from £5.2m in H1 2022.

All three of Punch’s divisions – L&T, management partnership and Laine Pub Co – delivered like-for-like sales growth, it said.

Underlying EBITDA for the 52 weeks to 26 February 2023 was £82.5m, which it said compared positively to the £76m of adjusted underlying EBITDA from the wider Punch Group in the year to August 2019.

The majority of the group’s revenue for the half-year period came from drink: £121.6m versus £16.9m from food.

Segmenting the numbers by division, L&T contributed £33.9m of EBITDA before non-underlying items, while management partnerships contributed £13.7m and Laine £3.9m.

During the period the group invested £16.7m of capex in its estate – £1.2m more than in H1 2022, which included five conversions of its leased sites to management partnerships and the acquisition of a brewery to expand its beer production capacity at Laine.

The group generated a net cash inflow from operating activities over the period of £35.2m – up from £23.7m the prior year, and as at the end of Q2 had £47.7m of available liquidity, represented by £12.7m of cash balances and £35m undrawn against the revolving credit facility.