Greene King sales leap but pub giant cautions over ‘tough’ conditions

Pub and brewing giant Greene King has said its expects the “tough” trading backdrop to continue for the rest of 2023 but hailed a leap in sales for the past year.

The company, which runs more than 2,000 sites across the UK, reported that revenues jumped by 62.2% to £2.18 billion for 2022.

It said trade returned to pre-pandemic levels after the easing of Covid-19 restrictions.

Demand was boosted by events such as the Platinum Jubilee weekend, women’s football Euros and men’s football World Cup.

However, customer confidence was “depressed” throughout the year as a result of the higher cost of living.

Greene King, which is owned by CKA group, the business empire of Hong Kong billionaire Li Ka-shing, also revealed a jump in profits for the year.

Operating profits bounced to £192.6 million compared with £18.6 million in 2021.

The company said this came despite significant inflation throughout the year, including “extremely high” utilities costs, although it said pressure was eased by hedging energy and food prices.

Nick Mackenzie, chief executive of Greene King, said: “Looking ahead, we expect the tough backdrop to continue, and we have planned for this.

“We now have a stronger platform to deliver sustainable growth against a strategy that is working and with a strong balance sheet.

“By focusing on the things we can control and supporting our team members and customers, we will continue to do what Greene King does so well, playing a meaningful role in supporting the communities we serve and leading the way in making our industry a better place to work.”