Whitbread struggles despite strong showing from Premier Travel Inn

15 December 2005 by
Whitbread struggles despite strong showing from Premier Travel Inn

Whitbread struggles despite strong showing from Premier Travel Inn

A strong performance from Premier Travel Inn has failed to offset falling sales in other parts of Whitbread's leisure portfolio.

Although Premier Travel Inn achieved 81.9% occupancy in the 39 weeks to 1 December, boosting like-for-like sales 7.3%, the company's other businesses struggled.

Whitbread's pub-restaurants division, which includes Brewers Fayre, saw a "disappointing" fall of 2.1% in like-for-like sales.

High-street restaurants, which include Costa Coffee and Pizza Hut and TGI Friday's, saw like-for-like sales dip 3.4% as consumer spending slowed.

David Lloyd Leisure's like-for-like sales fell 0.4% prompting the imminent introduction of a new management strategy to improve operational performance and drive growth.

Whitbread chief executive Alan Parker said: "Although we expect the remainder of the year to be challenging, the group continues to perform in line with our expectations."

Total sales at Whitbread were 8% ahead of last year's figures in the first three quarters of the year. But with the Premier Lodge acquisition stripped out, total sales were up only 3%, with like-for-like sales down 0.5%.

By Chris Druce

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