Fuller’s cheers the market on earnings

Adjusted profit before tax at Fuller, Smith & Turner was £22.8m in the year to the end of March, against £23m last year. The small drop was much better than the market’s average expectation of £21.5m and came in a difficult year for the industry.

The company called the result a "strong performance in tough market conditions." In the wake of Young & Co's recent announcement of a 63 per cent slump in pre-tax profit, it will come as a welcome respite for the beleagured pub sector.

Revenues at the Chiswick brewer rose three per cent to £210m, with the managed pub division seeing like-for-like sales rise three per cent. Brewery profits increased by four per cent on 'level' volumes over the year. The company produces some of the capital's best-known beers, including London Pride, ESB and Discovery.

Chairman Michael Turner said: "We remain very cautious about the outlook for the UK economy. With interest rates at an all time low and unemployment rising, we now have the prospect of rising VAT, rising interest rates, and significant tax increases in order to service the nation's debt mountain. However, we are well placed to meet the challenges ahead."

As a result of its performance the group was able to raise its final dividend to seven pence a share, up from last year’s level of 6.9 pence. ·