Endeavour Group has reported its results for the first quarter of the 2024 financial year with retail sales through BWS and Dan Murphy’s up 2.6 per cent on the same period last year and sporting events and Father’s Day helping hotel sales revenue grow by 2.8 per cent.
Food and bars sales, boosted by the ‘Matildas Effect’ which saw 1.2 kegs of beer sold every minute in hotels during the Women’s World Cup semi-finals and final in August, more than offset softer gaming revenue. The group also enjoyed a record 65,000-plus guests on Father’s Day.
Speaking about the result, Endeavour Group Managing Director and CEO Steve Donohue, said: “The Group has continued to demonstrate solid trading across the quarter, with our brands and offers resonating strongly with customers.
“Hotels’ sales revenue grew 2.8 per cent in the quarter, driven by Food and Bars sales. On a comparable basis Hotels’ sales increased 1.2 per cent, cycling an additional public holiday long weekend in September last year.
“Christmas bookings in hotels are already breaking records. At the end of Q1, bookings are at 40 per cent of capacity across 266 hotels nationwide that are hosting Christmas Day events. We anticipate that close to 46,000 Australians will enjoy festive celebrations at our hotels.”
He added: “Retail sales through BWS and Dan Murphy’s grew 2.6 per cent compared to the prior period while our total Retail business, which includes specialty businesses, delivered headline growth of 1.9 per cent and 1.2 per cent on a comparable basis.
“In Retail, customers are searching for value and discovery, which is reflected in shifting category trends, including higher demand for mainstream beer, rosé and pre-mixed drinks. New products remain a key driver of customer engagement and growth. In 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 crafted from select parcels of Chardonnay and Pinot Noir, launched in time for Spring Racing and the festive season.”
Looking ahead, Donohue said: “We have strong plans in place across the Group to ensure we are the destination of choice for Australians again 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 profitable growth and delivering long-term value for our shareholders, while offering the very best prices, service and experiences for all customers. Our team of over 30,000 around the country look forward to welcoming customers in our retail stores, hotels and wineries and showcasing our unbeatable range and value.”