Record results for Greene King

Greene King has announced record revenues of over one billion pounds, following a period of expansion that has seen the brewery, pub and restaurant operator develop its food and premium-weighted offer.

Pre-tax profits for the year 2010/2011 rose by 13.8% to £140m, according to the firm’s preliminary results for the 52 weeks to 1 May 2011.

With over 36 million meals sold during the past year, food related sales now account for around 60% of the company’s total sales. While total like-for-like sales were up by 4.9%, food like-for-like sales jumped by 8.1%.

The company reported “strong progress” in its retail expansion strategy, with 47 new sites added to the portfolio in the past year. Key among these were Cloverleaf, the carvery chain which Greene King bought in January this year for £55.8m, and Realpubs, the London pub chain purchased in April for £53m.

Pointing to “numerous opportunities for further growth,” Greene King chief executive Rooney Anand was nevertheless cautious, predicting “another testing year” for the UK pub sector.

“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,” he warned.

“However, these results show, through our sales momentum, our retail expansion strategy and our strong profit conversion, that we can continue to deliver attractive returns to our shareholders.”