Greene King shares drop despite jump in revenues

GREENE King, the leading pub retailer and brewer in the UK, yesterday reported a 14 per cent rise in pre-tax profits to £140m for the year.

The company said that rising demand for pub meals, which account for 60 per cent of its business, contributed to a revenue increase of six per cent, topping the £1bn mark and making it a record year.

Despite the figures, Greene King warned inflationary pressure and government cutbacks will see another tough year ahead.

The company’s share price fell 5.9 per cent yesterday to close at 487.4p, but followed a 6.1 per cent rally leading up to the announcement in the previous week.