Greene King Focuses on Sustainable Growth

 Breaking News
  • Greene King Being Sold For £2.7 Billion CK Asset, which is one of the largest property developers in Hong Kong and an international investment group, has made a recommended £2.7 billion cash offer for Greene King, the UK’s leading integrated brewer and pub retailer operating over 2,700 pubs, restaurants and hotels across England, Wales and Scotland. Including debt, the enterprise value of [...]...
  • The Hershey Company Takes Minority Stake in Irish Snacking Brand The Hershey Company, the US-based food group, has made a minority investment in Fulfil Holdings, the owner of the snacking brand FULFIL. Headquartered in Dublin, Ireland, FULFIL has rapidly grown since its inception, now outselling many traditional chocolate snack bar brands in the UK and Ireland and named a top 50 consumer brand in Ireland. Brian [...]...
  • UK Restaurant Numbers Drop Again as Consumer Tastes Shift Britain’s restaurant numbers have fallen for the sixth quarter in a row, the new edition of the Market Growth Monitor from CGA and AlixPartners reveals. Independent operators have borne the brunt of the closures with group-owned restaurants proving more resilient despite some major brand failures. The quarterly survey of the country’s supply of licensed premises reports a 3.4% drop in [...]...
  • Molson Coors Commits to Reduce Plastics in Packaging Molson Coors in the UK and Ireland is removing the plastic packaging from its Carling and Coors Light brands, as part of new global packaging goals. The brewer will remove the plastic film wrap from large multipacks by the end of March 2020, replacing the plastic wrap with 100% recyclable fully enclosed carton board. By [...]...
  • Carlsberg Group Upgrades Full Year Operating Profit Outlook Carlsberg Group has delivered organic operating profit growth of 17.7% for the first half of 2019 with reported growth of 18.2% to DKr 5.17 billion (€693 million). Organic net revenue growth was 4.2% and on a reported basis net revenue rose by 6.5% to DKr32.99 (€4.42 billion). Operating margin improved by 160bp to 15.7%. Reported net [...]...

Greene King Focuses on Sustainable Growth

Greene King Focuses on Sustainable Growth
June 28
12:59 2019

Greene King, the UK pub retailer and brewer, has reported a 1.8% rise in group revenue to £2.217 billion for the 52 weeks to 28 April 2019 as strong sales growth in the Pub Company and Brewing & Brands businesses offset reduced revenues from the planned rationalisation of the retail estate as the group continued to manage and optimise its portfolio. Group operating profit before exceptional and non-underlying items was down 1.3% to £368.2 million, impacted by £14 million net cost inflation. Group profit before tax, exceptional and non-underlying items was up 1.6% to £246.9 million. Statutory group profit before tax fell by 12.5% to £172.8 million.

Pub Company revenue was up 1.8% to £1.799 billion with strong like-for-like sales growth of 2.9% offsetting the 2.5% decrease in the average number of pubs trading. Pub Company operating profit was up 1.8% to £272.9 million and the operating margin was 15.2%, flat year-on-year.

Nick Mackenzie.

Pub Partners revenue was down 2.0% to £190.1 million, driven by the 5.0% decrease in the average number of pubs trading. Like-for-like net income was up 1.5%, boosted by higher rental income and beer sales.

Brewing & Brands revenue was up 5.8% to £227.6 million with total beer volume growth of 0.9% supported by the good weather and the 2018 World Cup. Own brewed volume (OBV) was down 3.4% ahead of an ale market down 4.1% (source: BBPA). Operating profit was down 10.7% to £27.4 million, driven by the estate rationalisation, increased costs and the lower production volumes in Greene King’s two breweries.

Nick Mackenzie, new chief executive of Greene King, comments: “The business delivered good results last year, regaining trading momentum in Pub Company and returning to market outperformance while fulfilling a strong cost mitigation programme and making further progress refinancing the Spirit debenture. The existing strategy we have in place has led the business through challenging times. I am looking forward to building on Greene King’s strong foundations with a focus on innovation, on developing our people and on customer service to further enhance our brands and deliver sustainable growth for our shareholders.”

About Author



Related Articles

Food & Drink Business Conference & Exhibition 2016

Upcoming Events

  • September 11, 2019Packaging Innovations & Luxury Packaging London 2019
  • October 1, 2019PPMA Total Show
  • October 17, 2019Future Food-Tech
  • November 18, 2019Plastics Caps and Closures Conference 2019
AEC v1.0.4

find food jobs

The Magazine

F&D Business Preferred Suppliers

New Subscriber

Subscribe Here