Pub Group Greene King Posts Double-Digit Holiday Sales Growth
Pub operator Greene King has reported has revealed that comparable sales for Pub Company, through which it manages its chain of 2,900 pubs, restaurants and hotels, rose 10.9% in the last two weeks of 2018.
Greene King, which brews beers including Greene King IPA, Old Speckled Hen and Abbot Ale, said comparable sales at its pubs rose 3.2% for the 36-week period that ended on January 6, 2019.
"Encouragingly trading has become more consistent with growth in both drink and food sales ... While January is expected to be challenging as more people embrace dry/vegan January, the outlook remains confident," Liberum analyst Anna Barnfathe said.
Greene King said uncertainty from Britain's impending exit from the European Union could still hurt consumer spending during the year.
The pub operator said in November that it was making contingency plans to protect against disruption if Britain leaves the trading bloc without a deal.
"We believe ongoing political-economic uncertainty, particularly around Brexit, has materially undermined Greene King's share price, yet the company's LFL sales are continuing to accelerate," Peel Hunt analysts said.
The Suffolk-based company, which owns the Chef and Brewer and Hungry Horse pubs, said it was on track to dispose of 100 to 110 pubs.