Trading, August Tracker, fast food, jobs market, J Holt, SBUX & other:

A DAY IN THE LIFE:

There once was an irritating Duracell Bunny of a comedian, let’s call him Michael McIntyre, who did a skit making fun of people who said ‘summat’.

And he probably went on to compound what is clearly a monumental hate crime by taking the mickey out of other perfectly good words such as ‘nowt’ and ‘owt’ and, for all I know – I had by this time kicked the TV over and left the room – other words and phrases like ‘ginnel’, ‘skeg’, ‘bairn’ and ‘mafting’ for hot, ‘starved’ for cold and ‘chowed at’ for told off.

But, tragically, every time I now catch myself saying ‘summat’ I think of him.

Which no doubt makes him a winner and, if he’s still in the habit of Googling his name every fifteen minutes or so, he might even see this post. Aaargh.

Anyway, the Mighty Hull City managed to score three times on Saturday, every time at the right end of the pitch. We find the latter always helps. On to the news:

LANGTON EMAIL:

The Free Email is now written in short form. Extended versions of many stories (after the ellipses) are in the Premium Email. Reply to this email if you would like to upgrade.

Prices for the Premium are £395 for one subscription, £695 for multiple, £995 for very large subscribers, all plus VAT. Or sign up for easy in, easy out monthly option per subscriber HERE

https://www.paypal.com/cgi-bin/webscr?cmd=_s-xclick&hosted_button_id=87YUG2Z5W7PSN

SALES TRACKER – AUGUST:

After a series of difficult months, CGA reports that ‘warm weather helped Britain’s leading managed pub groups to solid sales growth in August.’ The above may be the case but, including LFL sales at restaurants and bars, LFL sales across hospitality as a whole were only up by a materially-sub-inflation 0.6%. CGA nonetheless notes that this is ‘the Tracker’s first positive month since April and only the third of the year so far.’ Total sales, including at venues opened by groups in the last 12 months, were up by 3.9%.’ CGA says this is ‘fractionally ahead of the UK’s current rate of inflation’ but, as more units (and the cost of running them) have been factored in, this does not equate to profitable growth….

• See premium. Reply for sample or to upgrade. Single £395, multiple £695. Limited time offer: PayPal alternative monthly £25 + VAT per sub. Easy in, easy out.

PUBS & RESTAURANTS:

Trading:

CGA has updated on drink sales for the weeks to 30 August and 6 September saying that sales in managed On Premise venues were up by 0.4% in the first week and up by 1.3% in the second week under review. Both numbers are substantially below the current rate of inflation, which stands at 3.8%…

• See premium. Reply for sample or to upgrade. Single £395, multiple £695. Limited time offer: PayPal alternative monthly £25 + VAT per sub. Easy in, easy out.

Fast food:

The Sunday Times comments on the ‘explosion’ in sales of fast food, largely through American brands, in the sixty years since KFC opened its first British restaurant in 1965. McDonald’s arrived in the UK some nine years later….

• See premium. Reply for sample or to upgrade. Single £395, multiple £695. Limited time offer: PayPal alternative monthly £25 + VAT per sub. Easy in, easy out.

Operational risks:

In its recently-submitted accounts at Companies’ House, Uber UK comments on risks where it specifically refers to customer risk. It says ‘a significant amount of our Delivery gross bookings come from a limited number of large restaurant groups and other merchants, and this concentration increases the risk of fluctuations in our operating results.’ Getting rejected by a major large customer can impact figures as a whole…

• See premium. Reply for sample or to upgrade. Single £395, multiple £695. Limited time offer: PayPal alternative monthly £25 + VAT per sub. Easy in, easy out.

Hospitality jobs:

The FT reports that ‘retailers and restaurant groups are sounding the alarm on the UK jobs market, as applicants surge for waning numbers of vacancies while employers shrink their workforces and cut staff hours….’

• See premium. Reply for sample or to upgrade. Single £395, multiple £695. Limited time offer: PayPal alternative monthly £25 + VAT per sub. Easy in, easy out.

Economy:

Accountant KPMG is forecasting UK GDP to rise by only 1.2% this year and by 1.1% next. It believes that consumers will remain cautious when it comes to spending decisions. It says ‘elevated tax burdens, weaker global trade and cautious consumers are likely to keep growth subdued into 2026….’

Other news:

Financial exhaustion. The Guardian quotes CEO of Retail Economics Richard Lim as saying ‘there’s a limit to how much people are prepared to pay for certain products.’ He adds that ‘it’s snapped for some consumers with some products….’

Corporate distress. Corporate restructuring company Begbies Traynor updated on trading last week saying ‘we have made a good start to the new financial year with encouraging activity levels and positive momentum across the group.’

COMPANY NEWS:

Manchester-based brewer & pub company Joseph Holt, which was incorporated in 1922, has reported accounts for the year to end-December 2024 saying that revenues rose by 3.3% to £75.9m. The company raised its GP% slightly (to 69.7% from 69.4%). The admin & distribution costs have risen by 3.7% to £48.4m and, as interest costs in FY23 swung to interest received in FY24, PBT has risen by 14.0% to £4.87m….

• See premium. Reply for sample or to upgrade. Single £395, multiple £695. Limited time offer: PayPal alternative monthly £25 + VAT per sub. Easy in, easy out.

Southampton-based Domino’s franchisee Solent Pizza Delivery Ltd has reported results for the year to 29 Dec 24 to Companies house saying that revenue slipped by 3.9% to £32.03m in the year under review. It says that its GP% widened slightly to 27.6% from 27.2% in FY23. The company reports PBT down by 10.8% at £2.54m. Solent paid dividends during the year of some £2.0m (FY23: £2.5m) and retained profits slipped slightly as a result to £4.56m. Shareholders’ funds is around the same figure…

• See premium. Reply for sample or to upgrade. Single £395, multiple £695. Limited time offer: PayPal alternative monthly £25 + VAT per sub. Easy in, easy out.

German Doner Kebab is set to open its 150th site in the UK, in Leeds, next month.

Starbucks. Lawsuits have been filed in three states by employees against Starbucks saying that the company is violating state laws by not reimbursing staff for the costs of complying with the company’s updated dress code. Starbucks says the changes were made to make the outlets more consistent and to give workers ‘clearer guidance’.

Scotsman Hospitality has appointed Victoria Copley as New Director of Food

Fuller’s has announced a new look for its King’s Cross site, The Parcel Yard.

HOLIDAYS & LEISURE TRAVEL:

Air travellers faced a second day of disruption yesterday as Heathrow Airport continued to deal with the aftermath of a cyber-attack on its check-in and baggage system. A number of other airports, including Berlin and Dublin, were also impacted.

Travelodge has announced that it has started work on a new 182-room hotel at the new 16,500 seat national arena in Cardiff.

Gatwick. Transport Secretary Heidi Alexander has approved Gatwick’s plans for a second runway. The £2.2bn project will be privately-financed and will involve bringing the Northern Runway into regular use.

Staycity Group is reported to have secured planning permission for a new 185-room Wilde Aparthotel in Vauxhall, London.

OTHER LEISURE:

Deputy leadership candidate Lucy Powell has suggested that the government should consider raising taxes on gambling companies to allow it to lift the two-child cap on Child Benefit.

TikTok. President Donald Trump has said plans for the sale of TikTok in the US will involve the Murdoch family. He said on Fox News that ‘I hate to tell you this – a man named Lachlan is involved. You know who Lachlan is? That’s a very unusual name, Lachlan Murdoch.’ He adds ‘Rupert is probably gonna be in the group, I think they’re gonna be in the group, a couple of others. Really great people. Very prominent people. And they’re also American patriots, they love this country, so I think they’re gonna do a really good job.’

Meta whistleblower Sarah Wynn Williams is reported to be ‘on the verge of bankruptcy’ after publishing a book outlining what she alleged were the group’s various failings. Meta has secured an order preventing her from talking disparagingly about the company.

The FT writes that PE firm Apollo ‘is in advanced talks to buy a majority stake in Spanish football club Atlético Madrid…’

Ridley Scott Associates has reported turnover of £19.9m for the year to December 2024, down from £29.7m in the prior year. The company mad a loss of £2.7m compared to a loss of £2.6m a year earlier.

Demonstrations against the suspension of Jimmy Kimmel’s talk-show have continued outside Walt Disney’s headquarters in Burbank, California.

FINANCE & MARKETS:

The ONS on Friday reported that UK government borrowing rose to a five-year high of £18bn in August.

Sterling down at $1.3459 and €1.1477. Oil higher at $67.15. UK 10 year gilt yield up 5 basis points to 4.71%. World markets mixed on Friday and into Monday and London set to open around 4 points lower as at 6.30am.

RETAIL WITH NICK BUBB:

• See premium. Reply for sample or to upgrade. Single £395, multiple £695. Limited time offer: PayPal alternative monthly £25 + VAT per sub. Easy in, easy out.