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REFILE-British pub operator Greene King sees challenges ahead
November 30, 2016 / 8:15 AM / a year ago

REFILE-British pub operator Greene King sees challenges ahead

(Corrects dateline)

Nov 30 (Reuters) - Pub operator Greene King Plc forecast a challenging consumer environment going forward, partly due to increasing levels of consumer uncertainty and further cost pressures from a hike in British minimum wages.

Green King shares were up 0.4 percent to 714.5 pence at 0808 GMT on the London Stock Exchange.

The company, which brews ales such as Old Speckled Hen, said it expected government initiatives like the national living wage, minimum wage, apprenticeship levy and proposed increases in business rates to hurt margins in the hospitality industry.

The changes would inflate costs going forward, Greene King said, adding that it was working with trade organisations to offset the impact.

The Suffolk-based brewer said revenue for the 24 weeks to Oct. 16 rose 13.8 percent to 1.04 billion pounds ($1.30 billion) and adjusted pretax profit stood at 139 million pounds.

$1 = 0.8019 pounds Reporting by Rahul B in Bengaluru; Editing by Sunil Nair

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