UK pub operator Marston's upbeat as Christmas sales rise

LONDON, Jan 27 (Reuters) - British pubs and brewery group Marston's, known for its Pitcher & Piano bars and Pedigree ales, said sales had risen 2 percent at its own managed pub restaurants over the Christmas quarter.

The rise in the 16 weeks to Jan. 24 at the food-led outlets, the focus of Marston's growth plans, was helped by a 4.8 percent jump over the two-week holiday period. Its operating margin also rose.

Sales at its more drink-led managed pubs and franchised pubs also grew by 2 percent, while profits were up at its leased division and volumes rose 4 percent in its brewing arm.

The performance was better than flat sales at rivals Greene King and compared to a 2.8 percent sales rise at JD Wetherspoon.

Marston's, which is selling off drink-led pubs in favour of building more family, food-focused ones, said it was confident of meeting full-year profit expectations.

Shares (Berlin: DI6.BE - news) in the company closed at 146.7 pence on Monday, broadly flat on a year ago, valuing the business at around 836 million pounds ($1.26 billion). ($1 = 0.6631 pounds) (Reporting by Neil Maidment; editing by Jason Neely)