Spirit up after Punch demerger

Spirit Pub Company has got off to a strong start following its demerger from Punch Taverns, reporting a 3.8% like-for-like uplift in its fourth quarter.

By contrast, Punch, which retained just over 5,000 leased and tenanted pubs when the companies completed their split on 1 August, filed a fourth quarter like-for-like income decline of 5%.

The managed pubs within Spirit’s portfolio were boosted by a 7.9% increase in food sales.

The company attributed its more modest drink figures of 1.2% to the impact of the FIFA World Cup on the same period in 2010.

Both companies used the period to continue ongoing investment programmes.

Spirit has now refurbished 60% of its estate, while Punch has completed 500 pub renovations this year.

As a further part of cementing its image as a “high quality leased and tenanted pub business,” Punch has stepped up its focus on cask ales and saw the category outperform its total wet sales.

Commenting on results which “have again outperformed the market,” Spirit CEO Ian Dyson remarked: “While the economic and consumer outlook remain challenging, we believe we have the right plans in place to enable us to make further progress in the coming year.”

Meanwhile Roger Whiteside, CEO of Punch, offered a reassuring picture for the company’s future, saying: “Having completed the demerger, we have a clear operational and strategic plan and we will build on the positive momentum delivered throughout this year.”

Both companies are due to release annual results on 20 October.