Endeavour Group, which runs 344 hotels and clubs along with the Dan Murphy’s and BWS liquor chains, has raised prices on a large range of pub meals because of soaring red meat prices, but that has not curbed the growing enthusiasm of pub-goers.

The group’s hotels division made a solid rebound in the 13 weeks ended April 3, with revenue up 3.8 per cent to $405 million, with people returning to venues as COVID-19 restrictions eased. Chief executive Steve Donohue said the accommodation and gaming parts of the hotels were the strongest performers. “Food’s been a bit tougher, and drinks too,” he said.

The company’s liquor retailing businesses led by Dan Murphy’s, with 258 stores, and 1411 BWS liquor outlets, suffered a 3 per cent slip in sales to $2.32 billion as more people ventured out, with at-home consumption off its pandemic peak.

Mr Donohue said red meat prices had been climbing, and the hotels business had reluctantly passed price increases through to customers.

“We’ve had to put up our steak prices by $1 or $2 which we don’t like doing,” he said on Thursday.

He said the hotels business had gathered momentum as the last few weeks rolled on. “It was really tough in January,” he said. Many people in January were still in “shadow” lockdowns and staying home to avoid the omicron variant.


Source: https://www.afr.com/companies/retail/endeavour-hikes-steak-meal-prices-as-pub-crowds-return-2022042