Share Dealing
Greene King toasts record Christmas sales
Ellie Duncan, 18 January 2012
Shares in Greene King were up on news that the pub group enjoyed a record Christmas performance.
The brewer and pub operator’s share price was trading up nearly 1 per cent to 502p at 9.43am after it reported an increase of 8.2 per cent in retail like-for-like sales for the 37 weeks to 15 January 2012, while food like-for-like sales rose 11.1 per cent.
In its trading statement, the group revealed that it had served 365,000 Christmas meals in December, with food sales totalling £1.7 million on Christmas day alone.
Chief executive Rooney Anand commented, ‘It is clear that even in these difficult times, custmers still look for enjoyment and some respite from the financial pressures they are facing.
‘Across the UK the pub becomes the real heart of the community during Christmas.’
The brewer said better weather conditions helped it achieve a record number of bookings over the Christmas period and a 17 per cent jump in like-for-like sales in Christmas week.
Greene King’s three acquisitions last year, Cloverleaf Restaurants, Realpubs and Capital Pub Company, all traded ‘very well’ over Christmas, according to the group.
It expects full-year margins in Greene King retail, its largest and fastest-growing business comprising its retail brand pubs and local pubs, to be in line with the previous financial year.
The brewing and brands part of the group saw volume in its own-brewed brands rise 7.4 per cent, with year-to-date volume growth now at 2.9 per cent, compared to the poor performance of the UK ale market which was down 6.1 per cent in the five months to November.
Greene King, which operates around 2,400 pubs, restaurants and hotels across the UK, warned that it expects another ‘difficult environment for the UK consumer’ this year but that it remained confident it could deliver growth to shareholders.
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