Marston's making progress despite Q4 slowdown

Pub operator and brewing group Marston's reported a slight slowdown in its fourth quarter but said it has made "steady progress" over the year, as it continues to dispose of pubs and convert others to franchise.In a pre-close trading update, Marston's said its destination and premium division, which accounts for around half of group sales, saw like-for-like (LFL) sales increase by 3.1% in the year ended 4 October, with 3.3% growth in food and a 2% increase in 'wet sales'.This was down from the 4.1% year-to-date growth registered after the 41 weeks ended 19 July.The destination estate targets the informal family dining market, while the premium pubs and bars include the Pitcher & Piano chain.In the taverns division, which is made up of pubs operated through managed, franchised and tenanted business models, full-year LFL sales were 2.1% ahead of the previous year, compared with 3% growth at the 41 week mark.In brewing, own brand beer volumes were flat over the full year, compared with 1% growth over the first three quarters. Meanwhile LFL profits at the leased division were up 3%."We have made steady progress by consistently implementing our returns-focused strategy including an accelerated new-build programme, and in meeting our targets for disposals and conversions to franchise," said chief executive Ralph Findlay."We remain on track to complete the majority of this disposal and conversion activity by the end of financial year 2015, creating a pub estate appropriate to meet the needs of our customers in the long-term." Marstons