City Pub Company has reported turnover up 11% against the same period last year, but like for like sales down 4.5%, for the first 11 weeks to 15 March 2020.

Recent trading has been impacted by COVID-19 and its wider effects, particularly on sport, and certain sites have witnessed noticeable reductions in trade as a result.

However, more prominent local community pubs have been more resilient.

City Pub Company said it expects a “material reduction to our expectations for 2020” as a result of Covid-19.

The company is taking a number of steps to reduce costs and preserve cash, including reducing employee costs at head office and at site level, reduction in Sky/BT Sport, entertainment etc, where applicable, reductions in director salaries of 25%, and reviewing trading hours to reduce non-productive opening times.

The board said it was confident the company has sufficient working capital to maintain its operations for at least another six months without further capital.

The company is also entering into negotiations with landlords to seek rent holidays for the next 3-6 months.

Net debt is £32m against a portfolio of predominantly freehold assets with a net book value of £116m as at 29 December 2019.

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