UK brewer Shepherd Neame reviews beer division as volumes fall

United Kingdom | Is the “review” a first step towards exiting brewing? The family-run Shepherd Neame, Britain's oldest brewer established in 1698 which operates 280 pubs across Kent, London and the South East, reported on 30 September that its revenue declined 1.1 percent to GBP 162.6 million (USD 215 million) in its financial year ended 27 June 2026 over the previous year.

However, underlying EBITDA rose 0.8 percent to GBP 25.6 million and underlying pre-tax profit increased 1.8 percent to GBP 7.8 million, in line with expectations.

The firm reported strong pub trading but declining performance in its brewing division. Brewing revenue fell 4.6 percent to GBP 42.8 million, divisional operating profit declined to GBP 100,000, while total beer volume dropped 5.4 percent and own-beer volume 9.6 percent.

Chief executive Jonathan Neame said the company is reviewing its brewing strategy as logistics costs rise, volumes decline and margins tighten. He also said its brewery in Faversham, Kent, is near the end of its useful life, creating a need for investment. He emphasised that while brewing is an integral part of the company's identity and success, he would not rule out any closure or outsourcing of production as part of the review.