Propel Newsletter Archive Page

Papa John’s sees UK sales growth of 7%, to use UK closure strategy in US: Papa John’s saw a 7% increase in sales growth across its UK business in the three months to 28 December 2025, as it said it would use the same site closure strategy it deployed here to help its struggling business in the US. Papa John’s reported a 2% decline in North America like-for-like sales in the period driven by a performance downturn of company-owned stores, and balanced out by a 5% increase in international like-for-like sales. Papa John’s chief executive Todd Penegor said: “From a geographic perspective, we delivered strong 6% comparable sales growth internationally driven by strength across key markets in the Middle East, Asia Pacific and Europe. Performance highlights include 7% comparable sales growth in the UK. As we elevate our offerings outside of core pizza, in the UK we’re serving up new crispy coated chicken tenders alongside new dipping sauces and we are pleased with the early results, increasing sales of side items. We plan to build upon these learnings for chicken innovation in the US.” Papa John’s plans to close 300 underperforming restaurants – mostly franchisee owned – across the US. Ravi Thanawala, Papa John’s chief financial officer and North America president, said these restaurants don’t meet brand expectations and don’t have a path to sustainable financial improvement. They are more than a decade old, and generate average unit volume (AUV) of under $600,000. This same closure strategy was deployed in the UK while Thanawala was managing Papa John’s international business. Thanawala said that plan improved AUVs in the UK by 17%.

Premium Club subscribers to receive updated Multi-Site Database with 3,536 operators and 19 new companies today: Premium Club subscribers will receive the updated Multi-Site Database today (Friday, 27 February), at noon. The next Propel Multi-Site Database provides details of 3,536 multi-site operators and is searchable in seven main segments. The database features 1,021 (29%) casual dining operators, 805 (23%) pub and bar operators, 626 (18%) cafe bakery operators, 499 (14%) quick service restaurant operators, 290 (8%) hotel operators, 238 (7%) experiential leisure operators and 55 (2%) fine dining operators. The database is updated each month, and this edition includes 19 new companies. The database includes new companies in the pub and bar sector such as Coral Pub Company, a new vehicle led by Ted Kennedy, and brewery and pub operator Lancaster Brewery Company. Premium Club subscribers also receive access to five additional databases: the New Openings Database, the Turnover & Profits Blue Book, the UK Food and Beverage Franchisor Database, the UK Food and Beverage Franchisee Database and the Who's Who of UK Hospitality. All Premium Club subscribers will be offered a 20% discount on tickets to Propel paid-for events and discounts on specialist sector reports. Operators that are Premium Club subscribers are also able to send up to four members of staff to each of our four Multi-Club Conferences for free. Premium Club subscribers receive their daily Propel Info newsletter 11 hours earlier than standard subscribers, at 7pm the evening before. They also receive videos of presentations at eight Propel conference events two weeks after they are held. This represents around 100 videos of industry insight over the course of the year. Premium Club subscribers also receive exclusive opinion columns every Friday at 5pm, which include the thoughts of Propel chief operating officer – editorial, Mark Wingett, and a host of industry leaders from across the sector. A Premium Club subscription costs an annual sum of £495 plus VAT for operators and £595 plus VAT for suppliers. Companies can now have an unlimited number of people receive access to Premium Club for a year for £995 plus VAT – whether they are an operator or supplier. Email kai.kirkman@propelinfo.com today to sign up.

Three Cheers Pub Co reports ‘highly respectable performance in face of macroeconomic challenges’: Three Cheers Pub Co, led by former schoolfriends Tom Peake, Mark Reynolds and Nick Fox, has reported a “highly respectable performance in the face of macroeconomic challenges” in the year to 31 March 2025. The company’s revenue dipped slightly from £12,516,669 in 2024 to £12,199,852. Pre-tax profit also fell slightly, from £1,391,219 to £1,364,648. Fox said: “While the macroeconomic environment continues to have an impact on the company and the cost-of-living crisis has led to lower profit and operating cashflows than would otherwise have resulted had these conditions not existed, overall, the company has delivered a highly respectable performance, further demonstrating the resilience of its high-quality estate.” Dividends of £634,923 were paid (2024: £735,522). Post year end, in October 2025, the group opened the first new pub in the Kings Road in London’s Chelsea in more than 100 years – The Trafalgar Public House – for its tenth site. Peake told Propel at the same time that in terms of growth plans, the company will “go where the opportunity is” but “will stay in London”.

Stange & Co to reopen two pubs this year, wage rises ‘significantly our biggest cost’ and will ‘squeeze margins again’: Stange & Co, which operates venues in Merseyside and North Wales, is to reopen two pubs this year to take its trading portfolio to 11. The company will this spring reopen The Brookhouse Mill in Denbigh, which previous owners the Hall family closed in 2022, and which was acquired by Stange & Co in 2024. The group will also this year reopen Myddleton Arms in Ruthin, North Wales, which it acquired last summer. It comes after the group reported turnover increased from £15,858,229 to £17,944,691 in the year to 2 March 2025, with much of the growth down to Wirral pub Ring O’Bells, which the group acquired in 2020 and reopened in 2024. Pre-tax profit also rose, from £1,098,585 to £1,201,285. Pub Ebitda grew from £2.8m to £3.2m, while group Ebitda was up from £1.9m to £2.3m. Director Dan McLennan said: “Annual revenue increased from £15.9m to £17.9m, £1.8m of that increase being attributable to the Ring O’Bells, the rest being a modest increase in sales from price increases, with little volume growth this year due to low consumer confidence in the economy. Trading in the first six months of the current financial year has been strong, with sales more than 10% up across the group. We added five bedrooms at The Glengower in Aberystwyth and upgraded the kitchens at The Snowdon in Llandudno, which resulted in an uplift of around 50% in food sales. Wages remain the challenge again this year, with not only above inflationary increases in the national living wage, but also the government’s 2% increase in employers’ national insurance and lowering of the threshold, which together will result in an increase of well over 10% in wages costs, significantly our biggest cost. This simply will not be able to be covered by increases in sales or prices, meaning operating margin will be squeezed again.”