Endeavour Group has announced its results for the first quarter of its 2024 financial year, with retail sales at BWS and Dan Murphy’s up 2.6 percent on the same period last year, and sporting events and Father’s Day helping to boost hotel sales by 2.8 percent.
Food and Bars sales, boosted by the ‘Matildas effect’ which saw 1.2 kegs of beer sold in hotels every minute during the Women’s World Cup semi-finals and final in August, more than offset weaker gaming revenue. The group also enjoyed a record Father’s Day with over 65,000 guests.
Commenting on the results, Endeavour Group Managing Director and CEO Steve Donohue said: “The group continued to deliver solid trading in the quarter, with our brands and offerings resonating strongly with customers.
“Hotels revenue grew 2.8 percent in the quarter, driven by food and beverage sales. On a like-for-like basis, Hotels’ sales grew 1.2 per cent, benefiting from an additional public holiday long weekend in September last year.
“Christmas hotel bookings are already breaking records. At the end of the first quarter, bookings are at 40 percent of capacity at 266 hotels nationwide hosting Christmas events. We expect close to 46,000 Australians to enjoy festive celebrations in our hotels”.
He added: “Retail sales through BWS and Dan Murphy’s grew 2.6 per cent over the prior period, while our total retail business, which includes specialty stores, delivered headline growth of 1.9 per cent and 1.2 per cent on a like-for-like basis.
“In Retail, customers are looking for value and discovery, which is reflected in shifting category trends, including higher demand for mainstream beer, rosé and pre-mixed beverages. New products continue to be a key driver of consumer engagement and growth. Across the Pinnacle Drinks (owned and exclusive) brand portfolio, we continue to innovate to meet this demand with products such as the carbon neutral ‘Largo’ beer range, launched in partnership with Australian music act Lime Cordiale, and ‘Ovata by Oakridge’, a premium Yarra Valley sparkling wine made from selected parcels of Chardonnay and Pinot Noir, launched in time for the spring racing season and the festive season.”
Looking ahead, Donohue said: “We have strong plans in place across the Group to ensure we are once again the destination of choice for Australians this festive season, as customers seek out our brands to help them enjoy memorable social occasions with family and friends.
“Q2 is always an important quarter for the business, with key events such as Black Friday and Cyber Monday adding to the traditional peak associated with spring racing, entertaining and gifting at Christmas.
“We remain focused on delivering profitable growth and long-term value for our shareholders, while providing the best prices, service and experience for all our customers. Our team of more than 30,000 across the country looks forward to welcoming customers to our retail stores, hotels and wineries and showcasing our unbeatable selection and value.”
