Greene King full-year in line but organic growth lacklustre, says Nomura

Greene King's full-year results are in line, but organic growth is lacklustre, Nomura said in a note.It said adjusted pre-tax profit of £168.5m was in line with its estimate and Bloomberg consensus.The Japanese bank said the year was marked by transition in the pub estate, with dilution from the sale of 275 tenanted pubs having an impact for 11 months. "The group did not reinvest the cash, possibly waiting for its acquisition of Spirit to close," said Nomura.The bank said the short-term impact of slowing like-for-like sales and uncertainty about Market Rent Only represent downside risk and mean it retains a 'neutral' recommendation on the stock."Until GNK can demonstrate sustainable growth in the legacy estate and the market becomes comfortable on synergies, we see little scope for a re-rating," it said.At 11:14, shares were up 1.2% at 856.50p.