Leased and tenanted pubs operator Enterprise Inns posted full year profit in line with expectations and said, given the current economic uncertainty, believes it is not appropriate to resume dividend payments.
Profit before tax and exceptional items fell to £137m in the year ended September 30th 2012 compared to £157m a year before. Revenue eased to £692m from £711m.
Like-for-like net income fell 1.2% compared to a 4.3% decline in 2011. Enterprise said its first target is to achieve like-for-like net income growth for the entire estate.
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Enterprise said improving trade trends had continued across the group.
Otherwise the pub company said it will continue to use available cash to reduce debt, which fell by £266m to £2.7bn.
"We complete the 2012 financial year in good shape, having made progress in many areas and having invested significant sums into the quality of our estate and our internal resources to ensure that we are well placed to tackle the continuing volatility and challenge of the current market, said Chief Executive Ted Tuppen in a company statement.
"We are now focused on returning the business to growth, through a number of initiatives that we believe will continue to generate significant cash flows which we will use to reduce our debts," he added.
CJ
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