Brewery and leased pubs help Greene King lift profit by 10%

Greene King has toasted another year of record profit, thanks to strong performances from its brewing and leased pub businesses.

The company's pre-tax profit was up 10% from £75m to £82.6m for the year ending 2 May, with turnover up 3% from £535.6m to £552.7m.

Its Bury St Edmunds, Suffolk, brewery recorded an 11% hike in turnover for the year to £106.1m from £95.6m. This means one in every nine casks of ale supplied to the UK market now comes from Greene King, which brews IPA, Abbot Ale and Old Speckled Hen.

Greene King transferred 41 underperforming pubs into its leased division earlier this year. This was a result of spiralling costs associated with red tape and increasing national insurance liabilities at its 528-strong managed division.

The 1,153-strong leased estate, Pub Partners, put in a robust performance, with turnover up 3% at £115m. Turnover at its managed division increased 1% to £331.6m.