Revenue fell 4.6% to £164.3m (2024: £172.3m), while underlying profit before tax decreased 3.7% to £7.6m. Statutory profit before tax declined 7.9% to £6.3m.
On a comparable basis, retail like for like sales rose 4.4%, with drinks up 5.5% and food up 3%. Underlying operating profit increased 0.8% to £13.7m and underlying EBITDA rose 1.4% to £25.4m.
‘Strategic progress’
Chief executive Jonathan Neame said: “It has been a good year of strategic progress against a challenging backdrop for the sector and a resilient performance in a time of economic uncertainty.”
The group absorbed £18.5m of inflationary costs during the year, including £6.6m in food and drink inputs and £5.6m in labour.
Shepherd Neame ended the year with 286 pubs, made up of 224 managed sites and 62 tenanted pubs.
Retail and hotel revenue increased 4.4% to £82.6m, with divisional underlying operating profit up 10.9% to £10m. In the tenanted estate, revenue rose 2.3% to £35.6m, while underlying operating profit was flat at £12.6m.
‘Resilient and strong’
Chairman Richard Oldfield described the company as “resilient and strong”, with “enthusiasm and optimism, and the skill and experience to drive future performance.”
The group invested £15m during the year, including £11.4m in brewing and pub assets and £3.6m on the freehold acquisition of The Bishops Finger in Smithfield.
The annual results follow a series of positive trading updates from the group. Last month, Shepherd Neame reported like for like sales growth of 4.5% for the 26 weeks to 27 December 2025, with festive trading up 8.1% over the five-week Christmas period, although total beer volumes remained under pressure.
The group has continued to invest in its London estate, including a £950k refurbishment of The White Horse and Bower in Westminster and the £1.8m restoration of the historic Hoop & Grapes in Farringdon, which reopened earlier this month.
It has also reiterated its focus on long term investment, portfolio repositioning and own beer innovation as part of its strategy to offset structural volume declines in the wider market.
