Mitchells & Butlers (M&B), the FTSE 250 pub and restaurant operator behind chains including All Bar One, Harvester and Toby Carvery, has reported strong like-for-like sales growth over Christmas, offset by weaker performance in early 2025 due to adverse weather conditions .
The business saw a 10.4 percent year-on-year increase during key festive trading weeks including Christmas Day and New Year’s Eve, while comparable sales for the full 15-week period to January 11 rose 3.9 percent. However, CEO Phil Urban said that “the cold and stormy weather of recent weeks has subsequently had a material adverse effect on trading”, blunting the positive momentum.
Despite these circumstances, Urban remains confident in M&B’s long-term prospects, noting that the group is well equipped to cope with an expected increase in costs of around £100 million under the government budget. These additional pressures include higher employer national insurance contributions and a higher minimum wage, which M&B previously warned could force stricter pricing and efficiency measures.
Industry commentators remain optimistic. Jefferies analyst James Wheatcroft suggests M&B is well positioned to outperform the competition, highlighting its strong cash generation and potential for further debt reduction. Anna Barnfather of Panmure Liberum agrees. She calls M&B’s update a “relief” against broader economic uncertainties and underlines the operator’s resilience.
M&B, which emerged from the old Bass brewery empire twenty years ago, operates 1,726 locations under well-known brands including Miller & Carter, Vintage Inns, O’Neill’s, Browns and Nicholson’s. It is majority owned by Odyzean Group, a consortium led by prominent investors Joe Lewis, John Magnier and JP McManus, who together own 56.6 percent of M&B’s shares.
Last year, M&B’s turnover rose to £2.61 billion, with operating profit rising from £98 million to £300 million and pre-tax profits reaching £199 million.