Britain’s biggest bakery chain Greggs has raised its profit forecast for 2019 in the face of continued “very strong” trading.

The takeaway giant, which had more than 2,000 outlets across the UK, raised its previous expectations after seeing total sales grow by 12.4% in the six weeks to 9 November, compared to 8.5% for the same period last year.

Like-for-like sales in company-managed shops increased by 8.3% compared to 4% in 2018.

In the year-to-date, total sales have grown by 13.4% and like-for-like sales have increased by 9.2%.

The upgraded profit guidance underlines its position as one of the few strong performers in Britain’s troubled retail sector.

The firm points out the better than expected trading performance is set against improving comparison sales last year.

The retailer’s buoyant outlook has in part been fuelled by the soar-away success of its vegan sausage roll, launched earlier in the year.

In its trading update, Greggs said: “Sales growth continues to be driven by increased customer visits and has been stronger than we had expected given the improving comparative sales pattern that we saw in the fourth quarter last year.

“Operational costs remain well controlled and, whilst the comparative sales become stronger still in the balance of the year, the board now anticipates that full year underlying profit before tax (excluding exceptional charges) will be higher than our previous expectations.”

Source: Read Full Article