JD Wetherspoon Warns Profits Will Miss Expectations as Costs Rise
JD Wetherspoon (LON: JDW) has warned that full-year profits are likely to come in below market expectations as cost pressures intensify across the business.
The pub chain said like-for-like sales rose 4.0% in the 12 weeks to 19 July, taking year-to-date like-for-like growth to 4.2%.
The latest quarterly performance was ahead of the 3.4% growth reported at its May update, although year-to-date growth eased slightly from 4.3%.
Chairman Tim Martin said profits for the year are now expected to be below market expectations due to marginally weaker-than-anticipated final-quarter sales and higher costs. He pointed to rising costs in food, labour, repairs, energy and business rates.
The statement marks a firmer downgrade from May, when Wetherspoon said cost increases may result in profits being slightly below expectations.
During the financial year, the company opened eight managed pubs and sold nine, leaving it with 793 managed sites.
It also expanded its franchised estate, opening 15 pubs and taking the total to 23.
Wetherspoon repurchased 6.4 million shares at an average price of £6.52 and bought the freehold reversions of four pubs for £12.2 million.
Year-end net debt is expected to be around £720 million, better than the previously forecast range of £740 million to £760 million and broadly in line with last year.
The company is due to publish preliminary results on 2 October 2026.
