There were no surprises in M&B’s pre-close trading performance (51 weeks ended 18 September 2021). Lfl sales in the recent 8 weeks came in at 104% of FY19 levels. Management has confirmed that the momentum is still strong in sub-urban and food-led brands, particularly at the premium estate. However, we expect margin pressure due to ongoing supply chain issues and the surge in input costs (raw material price, labour costs). Positive recommendation is maintained on the stock’s valuation.
23 Sep 2021
A decent closure to FY20/21
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A decent closure to FY20/21
Mitchells & Butlers plc (MAB:LON) | 224 3.1 0.6% | Mkt Cap: 1,340m
- Published:
23 Sep 2021 -
Author:
Nishant Choudhary -
Pages:
2
There were no surprises in M&B’s pre-close trading performance (51 weeks ended 18 September 2021). Lfl sales in the recent 8 weeks came in at 104% of FY19 levels. Management has confirmed that the momentum is still strong in sub-urban and food-led brands, particularly at the premium estate. However, we expect margin pressure due to ongoing supply chain issues and the surge in input costs (raw material price, labour costs). Positive recommendation is maintained on the stock’s valuation.