Fully-listed Belhaven Group, Scotland's leading regional brewer, increased pre-tax profits 22.5 per cent to £17.2 million last year and says current

trading shows continued growth.

Expanding its pub estate by 44 to 270, with three disposals, was the chief driver for Belhaven whose turnover rose 20.5 per cent to £114.4 million in the 53 weeks to 3 April. Belhaven Best, Scotland's most popular draught ale, increased volume 8.6 per cent out of an overall 7 per cent increase for all of Belhaven's own brands.

In a year when almnost all British regions showed declining beer volumes, with a 3 per cent national decline and a 5 per cent fall for all Scotland, Belhaven's brands, including Tennent's Lager and Stella Artois (sourced from InBev), achieved respectable growth. Ahead of a smoking ban in all Scottish pubs from next April, chief executive Stuart Ross says research in Ireland, where such a ban is already in force, is not wholly discouraging, while the company is toying with outdoor smoking facilities and other responses.

Firm at 485.5p, Belhaven shares value the company at £143 million.With the possibility of eventual bid attention, they are likely to outperform the sector over the longer term.