In the 52 weeks to 28 September 2025, the UK’s largest pub operator reported revenue of £1.62bn, down from £1.75bn the previous year.
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Of the total, the managed segment contributed £828m, while leased and tenanted pubs generated £437m and the operator-led segment £354m.
Operating profit fell to £212m from £249m, while losses before tax improved from £214m to £174m.
The group said the results reflected ongoing progress in reshaping its estate, with stronger performance from its leased and tenanted and operator-led divisions helping offset continued pressure in managed pubs.
Reshaping the business
Writing in the results, CFO Dave Ross said: “The group’s estate transformation strategy is delivering, with our leased and tenanted and Craft Union estates showing strong growth despite the well-documented trading challenges faced by the industry, and a leaner managed estate significantly reducing the group’s operating costs.
“Our transformation is about positioning every pub for long-term success, and with the capability and infrastructure to operate pubs in varying different models, we can move pubs between business segments at pace.”
Rising costs, particularly labour, had a more significant impact on the managed estate, prompting Stonegate to accelerate the transition of sites into alternative operating models.
The company said this shift is central to its strategy of moving away from a traditional managed-heavy structure towards a more flexible, partnership-led approach, with a greater focus on partnering with operators and publicans.
At the end of the period, the group operated 4,259 sites, down from 4,370 a year earlier. The managed estate reduced from 674 to 544 sites, while its Craft Union division grew to 653 pubs. The leased and tenanted estate remained broadly stable at 2,724 sites.
Like-for-like sales were slightly down across all divisions, reflecting ongoing pressure on consumer spending, with the group also flagging continued cost inflation across wages and national insurance.
Stonegate invested £135m into its estate during the year and generated £74m through disposals, including site sales and sale and leaseback agreements, as it continued to reshape the portfolio.
Outlook
Looking ahead, the group said its transformation strategy would continue to drive improvements in both financial and operational performance, particularly as it leans further into operator-led and leased models.
Ross added: “We are well underway with our plan to build a partnership led pub company, built for the future.”
The company said consumers are increasingly valuing the people running pubs over the brand itself, with its model focused on empowering operators to deliver more locally relevant, community-driven venues.
It added that the strength of its leased and tenanted and operator-led divisions had been key to navigating a challenging trading environment.
