Punch Taverns plc, the operator of over 8,300 leased and tenanted pubs throughout the UK, today announces preliminary results for the 52 weeks ended 21 August 2004.

Highlights

• Group turnover up 49% to £638 million (2003: £429 million)
  existing Punch estate like for like turnover up 2.9%
• Profit before tax (pre exceptional items) up 38% to £156 million (2003: £113 million)
  existing Punch estate like for like profit per pub up 3.9%
• Adjusted earnings per share (pre exceptional items) up 24% to 48.8p (2003: 39.3p)
• Excellent result driven by:
  organic growth — existing Punch estate average EBITDA per pub up 8.7%
  acquisition of Pubmaster plus 80 individual pubs
• Proposed final dividend of 6.1p, bringing the total dividend for the year to 9.0p, representing an increase of 38% (2003: 6.5p)
• Continued investment in estate: £46 million including 580 developments
• Completed integration of Pubmaster, the third largest UK pub group, adding 3,115 further leased and tenanted outlets to the enlarged Group. Immediately earnings enhancing and on target to exceed £10 million pa estimated synergies
• Post year end, acquisition of InnSpired for £335 million, adding a further 1,064 pubs to the Group
• Trading in the current year is in line with expectations

Giles Thorley, Chief Executive of Punch Taverns plc, commented:

"These excellent results demonstrate a continuation of the trading momentum which characterised the first half. We have seen improvement across all major income streams and benefits from Pubmaster and our investment programme in particular.

"We continue to operate in stable market conditions with encouraging current trading and are seeing record numbers of applicants for our pubs. We see good opportunities for further acquisitions and property-based transactions to further enhance shareholder value."

Ends