Business

Greene King profits from pub dining demand

Greene King pub sign
Image caption Greene King says it sees a tough year ahead despite its strong results

Greene King has reported a jump in profits and sales, driven by a rising demand for pub meals.

Total revenues rose 6% to top the £1bn mark for the first time in the pub owner and brewery's 212-year history, according to its annual results.

That helped it to a 14% rise in pre-tax profits to £140m.

Despite the positive figures, and plans to add to its almost 2,500 pubs and restaurants, the Suffolk-based firm warned of another tough year ahead.

"The UK economy continues to face inflationary pressures, impacting on both our customers' spending power and our cost base, and the impact of the government's cutbacks is still to take full effect," said Greene King's chief executive, Rooney Anand.

Food sales, which now account for 60% of its business, led the strong results, rising 8% on a like-for-like basis in the year.

The numbers were widely anticipated by the markets.

The company's share price fell 6% in by late morning trading in London following the announcement, almost entirely retracing a rally in the week leading up to the announcement.

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