British pub operator J D Wetherspoon today reported a higher comparable sales for the 10 weeks to July 7 as it tries to keep a tight lid on rising costs that plagued the entire sector.
Like-for-like sales increased 6.9% for the 10 weeks and total sales was up 6.6%.
The company, which operates over 900 pubs in Britain and Ireland, has been seeing a surge in costs because of rising wages and property prices.
Initially called Martin's Free House, it has also been spending to upgrade facilities at its older pubs. The efforts come even as the company faces rising debt levels.
Net debt at the end of the financial year ending July 28 is expected to be about £745m, the company said, £5m more than its prior estimate in May.
To keep a check on cost related to rent, the group spent £71m on buying the freeholds of pubs of which it was previously the tenant.
Wetherspoon said it expects to incur non-cash losses of about £3m in the current fiscal year as a result of disposals of underperforming pubs.
