Greggs like-for-like sales down 2.9%
Greggs saw its total sales grow by 4.3% over Christmas as it sold a record 8.5 million mince pies. However, like-for-like sales dropped by 2.9% against strong 2011 comparatives when like-for-like sales rose by 5.1% having been boosted by Christmas Day and New Year’s Day falling on Sundays.
In the five weeks to 5 January 2013, the bakery chain sold 7% more sweet mince pies than in the same period last year. The company said its wholesaling and franchising businesses also performed well, adding 3% to total sales growth.
In the 52 weeks ending 29 December 2012, total sales grew by 4.8% although like-for-like sales were down by 2.7%. During the year, Greggs opened a record 121 new shops, 48% of which were away from high streets, and now operates 1,671 shops across the UK. In addition, 118 stores were refurbished.
The company said it was encouraged by the performance of its refit programme including the new ‘Greggs the Bakery’ format. It plans to refit a further 200-300 shops in the year ahead and open 80-90 new shops.
Never Miss a Retail Update!Greggs anticipates that its full year results will be broadly in line with expectations. Chief executive Ken McMeikan said: “We expect that the tough trading environment will continue during 2013, with consumers remaining cautious and inflationary cost pressure on a number of key commodities. However, having built strong foundations in 2012 for our multi-channel approach, we are well placed to drive further sales growth in the year ahead.”
