Financial highlights
Like-for-like net income growth of 1.1% (H1 2013: 4.2% decline) with all geographic areas performing in line with, or ahead of, the comparative period
EBITDA before exceptional items reduced to £147 million (H1 2013: £153 million), primarily reflecting the impact of our asset disposal programme
Profit before tax and exceptional items maintained at £55 million (H1 2013: £55 million) as interest savings offset reduction in EBITDA
Profit after tax increased to £37 million (H1 2013: £25 million), assisted by lower exceptional property charges
Adjusted earnings per share up 2.4% at 8.6p (H1 2013: 8.4p)
Strong cash generation enables reduction in net debt to £2.5 billion (H1 2013: £2.7 billion)
Operational highlights
Capital expenditure of £41 million (H1 2013: £29 million) funded from net disposal proceeds of £42 million (H1 2013: £54 million)
Enhancing returns for pubs and Publicans with 32% of capital investment focused on growth driving initiatives, up from 20% in the first half of the prior year
Business failures reduced by 16% compared to the equivalent period last year
Further progress on implementation of initiatives to drive sales and reduce costs for Publicans
Commenting on the results, Simon Townsend, Chief Executive Officer said:
"I am pleased to be able to report positive progress for the business with like-for-like net income growth in the first half of the year and am particularly encouraged to see this translate into growth in earnings per share.
Our focus continues to be on the implementation of actions that will sustain our improving trading performance and drive value for our Publicans, which include the further enhancement of our pub estate and the provision of exceptional local support.
Whilst the latter part of the year will be measured against tougher comparatives, I am confident that through our activities to support Publicans to grow their businesses we will achieve our target of like-for-like net income growth for the full financial year."
