Real ale sales at WH Brakspear are up despite worries about the impact of the economic slowdown and restructuring of the pub industry.
The Oxfordshire brewer said it had "cautious optimism" about the rest of this year after putting in a "robust" performance so far.
It pushed up operating profit for the six months to June 30 by 19 per cent to £1.6m and turnover by 24 per cent to £9.3m.
Chairman Mike Foster said that the growing dominance of the giant pub groups had led to brewers facing more pressure on pricing over group supply agreements.
"While we have benefited from increased sales volumes, the industry consolidation has put increasing pressure on profit margins from freetrade beer sales," he said.
"Despite the ongoing change in the structure of the industry and the uncertainty that has created, Brakspear has continued to perform robustly."
Sales of Brakspear's ales, such as its Bitter and Special, were up by seven per cent against a background of a declining market nationally.
This has been boosted by the launch of new beers, such as a 2.5 per cent ABV ale and a chilled version of its flagship bitter (pictured).
The brewer also continues to invest in its 100-strong estate, which is almost entirely tenanted and leased. It has been channelling more cash into accommodation, such as the Perch and Pike in South Stoke, Oxfordshire, and the White Hart in Nettlebed, Oxfordshire.
Chief executive Jim Burrows said letting rooms could be a particular boost for rural pubs, especially those hit by foot-and-mouth disease.
"We see the provision of three income streams for our rural pubs - drink, food and accommodation - as a sound, additional way for rural pubs to survive and prosper," he said.
The managed estate, which had 10 pubs, is steadily being rationalised after the termination of a joint venture, Honeypot Inns, with Firkin entrepreneur David Bruce.
It is holding on to one of the sites, the Chequers in Marlow, Buckinghamshire, which has been refurbished. But, of the rest, it has sold one, is about to assign the leases of three others and is reviewing the future of two more.
Mr Foster said Brakspear was on the lookout for "suitable" pubs, particularly from the fall-out of major deals involving pubs from Whitbread, Bass and Scottish & Newcastle.
"We have evaluated packages from recent pub sales for incorporation into the Brakspear estate, but none has met our acquisition criteria," he said.
Over the six months, the company acquired two new pubs and carried out refurbishments at six outlets.
Mr Foster said: "In common with many commercial enterprises, we are concerned with the current economic trends.
"However, with a strong brand and continued investment in the licensed estate, we look forward to the second half of our trading year with cautious optimism."
Related stories:
Brakspear helps rural pubs with B&B expansion (July 26, 2001)
Brakspear continues duty fight after launching 2.5 per cent ABV ale (June 1, 2001)
Brakspear set to feel the chill with new version of bitter (May 23, 2001)
Brakspear breaks sales record (March 29, 2001)