Stock Markets June 10, 2026 02:20 AM

Fuller Smith & Turner Tops Estimates, Expands Buyback and Confirms Energy Hedging for 2027

Revenue and adjusted profits beat analyst forecasts as like-for-like sales rise and the group earmarks more than 30m for estate investment

By Jordan Park
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FSTA

Fuller Smith & Turner reported a full year of revenue slightly above analyst expectations and a double-digit increase in adjusted pretax profit. The UK pubs and hotels operator extended its share buyback programme by one million A shares, declared a full-year dividend, and reported positive like-for-like sales across all divisions. Management also outlined planned capital expenditure and confirmed full hedging of electricity and gas costs for fiscal 2027.

Fuller Smith & Turner Tops Estimates, Expands Buyback and Confirms Energy Hedging for 2027
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Key Points

  • Full-year revenue rose 5.7% to 397.80 million, marginally above the consensus estimate of 397.67 million.
  • Adjusted pretax profit increased 28% to 34.60 million, beating the 32.76 million consensus; statutory pretax profit was 29.50 million.
  • Board extended the share buyback with one million additional A shares and maintained a full-year dividend of 0.21 per share.
  • All divisions reported positive like-for-like sales; Managed Pubs and Hotels grew 4.9% with gains across food, drink and accommodation. Like-for-like sales rose 4.4% in the first 10 weeks of the new financial year.

Fuller Smith & Turner posted full-year revenue of 397.80 million, representing a 5.7% increase and narrowly exceeding the average analyst forecast of 397.67 million compiled from six analysts.

Adjusted pretax profit rose 28% year-on-year to 34.60 million, ahead of the 32.76 million consensus from five analysts. The company's statutory pretax profit for the year was reported at 29.50 million. Fuller Smith & Turner declared a full-year dividend of 0.21 per share.

The board has authorised an extension of its share buyback programme, adding one million A shares to the existing programme. Management said the additional repurchase allocation forms part of ongoing capital return measures.

Operationally, all business segments delivered positive like-for-like sales growth for the period. The Managed Pubs and Hotels division achieved a 4.9% uplift in like-for-like sales, with gains recorded across food, drink and accommodation categories.

Improvement in margins was attributed to procurement initiatives, changes in suppliers and selective price increases, which the company said helped to offset higher labour costs.

Looking into the new financial year, Fuller Smith & Turner reported that like-for-like sales for the first 10 weeks rose 4.4%. The company said it plans to invest in excess of 30 million across its estate over the coming year, signalling continued capital deployment into its property portfolio and operations.

On the cost-inflation front, the group confirmed it has secured full hedging for electricity and gas costs for fiscal year 2027, removing a degree of near-term commodity price uncertainty from its operating outlook.


Overall, the results show revenue growth and a stronger adjusted profit position relative to analyst expectations, coupled with shareholder returns via buybacks and a maintained dividend. The mix of margin actions and energy hedging were highlighted as contributors to the company's performance and risk management approach.

Risks

  • Higher labour costs remain a headwind and were specifically noted as being offset by procurement actions and selective price increases - this impacts labour-intensive hospitality operations.
  • Planned capital investment of over 30 million increases exposure to execution risk in property and estate projects within the hospitality sector.
  • Although energy costs for fiscal 2027 are fully hedged, the company remains exposed to potential future commodity price changes beyond that period - a factor for the hospitality and utilities-exposed operational costs.

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