Shepherd Neame – ‘trading has remained resilient but becoming more seasonal and more reliant on occasions’, undergoes refinancing: South east brewer and retailer Shepherd Neame has said trading has remained resilient but becoming “more seasonal and more reliant on occasions”. The company said it has refinanced its bank debt “on improved terms”, entering into a new £15.0m term loan facility, and a revolving credit facility (RCF) for £30.0m. The existing two tranches of long-term fixed rate private placement debt totalling £55.0m remain unaffected. Total debt facilities are now £100.0m, with the RCF and term loan on a three-year term, with further extension options. For the 37 weeks to 14 March 2026, retail like-for-like sales were up 4.4% compared with the previous year. Like-for-like tenanted pub income for the 35 weeks to 28 February 2026 was up 3.0% compared with the year before. For the 37 weeks to 14 March 2026, total beer volume was down 6.7% versus the previous year. Own beer volume was down 11.3% versus the year before. The company stated: “Our pub business is in good shape and continues to benefit from strong demand, a good offering, a well invested pub portfolio, great training programmes, some excellent recent developments, and a good pipeline of future opportunities. The pubs team have done an excellent job at absorbing the higher labour costs and delivering good divisional profit growth in our retail pubs. The brewing and brands business is much more challenging. The team are addressing these issues head on and making good progress in our heartland. The growth in pubs is not yet enough to combat the decline in brewing and brands; hence the overall business is level on the prior year. We said previously that it would take 18 months to absorb the higher costs of employment and logistics. By the fourth quarter of 2026, we will annualise these cost increases. The business rates reduction and national living wage increases more closely aligned with CPI are encouraging factors, as are the improved terms, following our refinancing. We had expected the cost outlook to be more benign, but some caution is naturally warranted given the unpredictable situation in the Middle East; it would be premature to say more. The trade is becoming more seasonal and more reliant on occasions, and we look forward to a strong spring and summer. The combination of resilient demand and some easing of cost pressures give us cause for optimism. Our robust, asset-backed and cash-generative business model provides good opportunities for allocating our capital to investment in the business to drive higher returns for shareholders.” It comes as the company reported revenue for the 26 weeks ending 27 December 2025 was down slightly to £84.7m from £85.0m the year before, with increased revenue in its pub estate offset by a decline in the brewing and brands division. Statutory profit before tax grew 2.7% to £4.4m from £4.3m. Total retail sales were up 0.1% to £42.3m. Retail like-for-like sales were up 4.5% on last year. Retail like-for-like sales inside the M25 were up 11.2% and outside the M25 by 1.4%. For the 26 weeks, like-for-like drink sales were up 5.6%, like-for-like food sales were up 4.3% and like-for-like accommodation were down 3%. Like-for-like tenanted pub income was up 3.1% on the previous year. Divisional revenue in tenanted pubs was up 4.8% to 19.0m from £18.4m and operating profit was £6.4m compared with £6.6m the year before. Revenue in the brewing and brands division reduced 4.7% to £22.7m (2025: £23.8m), and divisional underlying operating profit was £0.3m (2025: £0.6m). Chief executive Jonathan Neame said: “Demand has remained resilient, with a further exceptional performance from our London pubs, and a good trading performance in our tenanted estate. Our strong pub trading and some easing of cost pressures gives us cause for optimism going forward, but some caution is naturally warranted given the situation in the Middle East.” The company operates 285 pubs, of which 223 are tenanted or leased, 60 managed and two are held as investment properties under commercial free of tie leases.