Shepherd Neame has recorded record revenues for the past 12 months – and believes it has sailed through the most turbulent of inflationary waters. Now it’s hoping for calmer seas.

The Faversham firm – forced to up its prices over recent months due to soaring costs - said revenue for the year to the end of June grew by 9.7% to a record £166.3 million. That compares to £151.5m in 2022.

However, pre-tax profits were down to £4.9m from £7.4m the year before.

It blamed that on a far higher increase in costs due to inflation and interest rate increases.

It also saw a dip in supermarket sales for its beers – something, it insists, is hitting many brewers.

The firm, which has a portfolio of some 300 pubs across the South East, said the return to working in the office in London was fuelling trade in their city pubs, coupled with a boost in tourism numbers.

It was also helped by good weather in June.

Explains chief executive, Jonathan Neame: “The number of meals and pints sold in our pubs is still down slightly from pre-pandemic levels, but this is a trend I think that you'll see across all hospitality and tourism.

“People are going out slightly less but they're spending more when they do.”

The cost-of-living crisis has put the squeeze on many people’s budgets and are likely to again as the nights draw in and energy usage increases.

Adds the company’s CEO: “We’re very conscious that many of our customers are under pressure. Obviously, last year people had to absorb significant energy bills and higher mortgage costs. But while volumes are slightly lower, I’m confident they will continue to pick up.

“Demand has been strong all year with recent trade in our pubs encouraging.

“We have faced considerable inflationary challenges in the last year but these are now easing.

“The turmoil of the last few years is now settling and the outlook is positive. We have much to look forward to. The balance sheet remains strong and the business has momentum in our pipeline of investment.”