Greene King Share Discussion Threads

[jeffian] 29/11/2018 10:46

"no increase in dividend the city may not like it as most expected rise "

Really?! Most discussion on the subject I have seen was more concerned with whether they ought to cut. Maintaining the dividend is very much a plus (though one I expected given their track record).

[philanderer] 29/11/2018 09:17

😊👍

House broker Peel Hunt reiterating 'buy'

Shore Cap and Liberum reiterating 'buy'

[the deacon] 29/11/2018 07:44

Langton Comment:• Greene King remains on track to deliver full year numbers. The dividend has been held and the group has made progress in Pub Company although rising costs have held back profits.• The group says 'the positive momentum at the start of the financial year continued through the first half' and GNK, along with other pub companies, benefited from the hot weather and the World Cup – at least with regard to wet sales.• Costs will remain an issue going forward. Integrating Spirit will continue to provide the group with both challenges and opportunities.• Capacity increases in the market as a whole are moderating with restaurant numbers down 1% in Q2 this year versus last.• Consumer confidence has declined recently and Brexit uncertainty remains but these are industry (and economy) wide issues and Greene King is pulling the levers available to it.• The group is cheap on most measures. The asset backing is substantial, the shares trade on a PER of a little over 8x and offer a yield of 6.5%%. The group has a multi-decade record of not cutting its dividend and it will no-doubt strive to keep that record intact.

[baticle] 29/11/2018 07:13

Everything looks Good for me, I have a couple of Green King Pubs where I live which have recently been overhauled and they are busy.. the upgrades have been well received as people that never used to go in there now do. If the Co. can keep on top it's game like this there's nothing to worry about.

[casino444] 29/11/2018 07:12

looks ok and on track , but no increase in dividend the city may not like it as most expected rise , turnover i thought would have been more ,

[waspfactory] 29/11/2018 07:06

Everything good! A bit too early to celebrate :)

[dmore2] 29/11/2018 07:04

Looks ok

Net debt GBP2,017.9m GBP2,118.9m +GBP101.0m
Net cash flow from operations GBP153.5m GBP96.9m +GBP56.6m
Free cash flow(2) GBP25.4m GBP10.6m +GBP14.8m

[skinny] 29/11/2018 07:02

Continued LFL sales momentum in Pub Company

· Pub Company like-for-like (LFL) sales up 2.7%, ahead of the market4 up 1.1%

· Driven by the ongoing benefits from our investment in value, service and quality (VSQ), our strategic focus on four core brands, and boosted by good weather and the World Cup

· Pub Partners LFL net income up; Brewing & Brands revenue up 7.5%

Consistent cash generation, disciplined capital allocation & attractive property valuation

· Operating cash generated5 covers scheduled debt repayment, core capex and dividends

· Further steps taken to refinance Spirit debenture, reducing cost and increasing flexibility of our debt; to date annualised cash interest saving c.£13m and net present value benefit c.£45m

· Interim dividend maintained at 8.8p per share; dividend cover5 of 1.9x

· Estate optimisation; tail disposal proceeds fund new builds, helping to grow average weekly take in Pub Company by 7.9% over the last three years

· Pub estate valuation supports maintained leverage; market value of £4.5bn

Current trading and outlook

· LFL sales in Pub Company were up 2.9% at week 30; Pub Partners and Brewing & Brands performing in line with expectations

· Christmas bookings well ahead of last year

· Remain on track to limit full year net cost inflation to £10-20m

Rooney Anand, chief executive officer

"We have seen continued positive momentum in Pub Company, which was sustained beyond the boost of the World Cup and the summer weather. The hard work of our teams, combined with the investments we made to improve our customer experience, is driving sales outperformance to the market. We remain highly cash generative, meeting our debt repayment requirements, investing in our pubs and paying an attractive, sustainable dividend out of operating free cashflow. Good progress was made refinancing the Spirit debenture, which will reduce the cost of our debt and increase the strength and flexibility of our balance sheet.

"Looking forward, Christmas bookings are up on last year and we look forward to ensuring customers have a great time celebrating the festive season in our pubs. Ongoing uncertainty around Brexit may impact on consumer confidence, but as a team we are focused on our key strategic priorities and remain confident of our outlook for the financial year."

[mrtenpercent] 28/11/2018 12:35

@philanderer - I do not think they would have said they were trading ahead of the market if they weren't pretty confident. I think the interims will be OK and the P/E should be 10. If that happens it would be roughly a 25% uplift for the share price My view of the chart is that the dominant trend is shifting from down to up and a re-rating of the PE would crystalise that change.

I really do not want to be political here, but there's a Brexit angle to this. I think there's going to be a lot more home trade next year. People will still travel long haul, but they won't be going to Europe in the usual numbers. Many people will be staying home and hoping for another good summer. Look at the Thomas Cook results.

EDIT 28/11/18 14:56, share price ~507 (HL)
I wonder if the MMs are shaking out nervous holders to give them some stock for tomorrow if the results are good?

[philanderer] 27/11/2018 18:41

Yes, fingers crossed for thursday :-)

[mrtenpercent] 27/11/2018 17:35

Back in the sixties I had several friends who went to Rishikesh to study meditation and came back all dreamy and vegetarian. It was my delight when they visited our house to roast a chicken or fry bacon and eggs and watch their inner turmoil when faced with the veggie alternative. It was usually the smell that got them.

I have a wicked dream of setting up a business to sell real meat dressed up as vegan, pricing it to sell by the tonne, and then at a time of my own choosing announcing to the world what I had done, and watching the results. I stress it is only a dream but it is consoling.

Off Topic: I have decided to hold my GKN through the interims. The last few GKNs I have been in have been packed, with good customer service, and seemingly happy customers.

[jeffian] 27/11/2018 17:17

Moi aussi. One of my trendy neighbours was telling me the other day that he had set up new business supplying vegan burgers to the catering trade that 'bleed' when you cut into them and look like real meat. He didn't seem to see any irony in that at all.

[waspfactory] 27/11/2018 17:11

I'm vegan intolerant Jeffers

[jeffian] 27/11/2018 16:34

That was rather the point of my #1636. I have never yet tasted an alcohol-free beer or wine which tastes anywhere near as good as the real thing. If you don't drink alcohol, there's plenty of alternatives. Why drink something which tries to taste like....errr...alcohol? I have the same problem with vegetarians/vegans who insist on dressing up their tasteless mush to look like meat products. What's the point?

[waspfactory] 27/11/2018 16:23

It's absolutely disgusting, I'd rather drink water.

[spacecake] 27/11/2018 12:06

Brewdog has the 3rd best selling low ABV beer, Nanny State 0.5 abv. A runaway success.

[philanderer] 26/11/2018 20:19

Pubs adapt to changing UK drinking habits

One in 5 venues has closed since 2008, forcing larger survivors to focus on food and tourists

[philanderer] 26/11/2018 17:14

More staff hired in shrinking pub industry

[philanderer] 26/11/2018 09:10

'Investors on the look-out for sales and dividend ahead of Greene King results'

[buywell3] 24/11/2018 02:17

NYSE trades in this look more correct rather than the UK

IMO this has lower to go

cheers

dyor

[philanderer] 24/11/2018 00:14

Old Mout trials draught flavoured cider at Green King outlets

[andyalan10] 23/11/2018 13:30

And I did read an article recently about how it is much easier to make a successful low alcohol beer than wine. Beer gets a lot of its flavour from hops. Wine tends to end up sweet if you don't turn the sugar into alcohol, or something like that.

I'd also have thought low alcohol drinks would be more important for on-sales than off-sales with people out and about more likely to be driving/working afterwards.

Andy

[skinny] 23/11/2018 12:40

My local sells Adnam's Ghost ship and has recently introduced a bottled low-alcohol version - apparently its selling well and tastes like the real thing.

[the deacon] 23/11/2018 12:31

I'd agree with you Jeffian, but..."The no- and low-alcohol beer sector is rapidly growing and is now the second fastest growing beer category in supermarkets, after craft beer, and is now worth £48.6m - up 35.1% in the last year according to Nielsen data.Nearly a quarter of adults claim they have consumed no- or low-alcohol beer in the last year as the healthy living lifestyle trend continues to rise."Therein lies the point I suppose..