JD Wetherspoon posts underlying record

11th Sep 2009 07:16

Pub group JD Wetherspoon is mulling a complete refinancing, possibly including a rights issue to clear its debts after it posted record underlying figures last year.The 731-strong pub group has suspended dividend payments until its get its finances straight, but payouts could resume again after a refinancing."We've ruled nothing out at all. A rights issue or an equity placing, a US private placement, or even a bond issue. They're all options that are available to us," chief executive John Hutson told reporters, adding something could be in place by next March.Last year, heavy charges for pub estate write-downs dragged on the pre-tax numbers, though the underlying peformance was better than analysts had forecast.Profits before tax before exceptional items in the year to July rose 13.6% to £66.2m (2008: £58.2m), at the high end of forecasts. Revenue rose by 5.2% to £955m, while like-for-like sales were up by 1.2%. Statutory profits fell from £54.1m to £45m after one-off charges of £21.1m.'In the six weeks to 6 September 2009, like-for-like sales increased by 1.2% and total sales by 5.8%. As a result of our strong cash flow, our dedicated management team and our continuing efforts to improve the business, we remain confident of our future prospects,' chairman Tim Martin said.There is no final dividend, with the cash being used to pay down debt. The group added it remains on course to repay a £87m loan due this month.