Greggs has made a “good start” to the new financial year and is investing to power future growth.

Greggs York

Greggs has made a “good start” to the new financial year

The food-on-the-go retailer reported like-for-like growth of 7.4% in the first 19 weeks of 2024 when there was “continued good progress across all channels”.

Greggs said that investments to increase supply chain capacity were “progressing well” and management expects to meet their expectations for the full year. 

As the cost of living moderates, Greggs reported “no change to the outlook for cost inflation”, which is likely to be between 4% and 5% like for like.

Over the period Greggs opened 64 new shops, including 15 with franchise partners such as Tesco and Sainsbury’s, and forecourts.

Greggs has closed 37 shops, including 23 relocations, and said the “pipeline for the remainder of the year is strong, including several further opportunities with supermarket groups”. It expects to deliver between 140 and 160 net openings in the full year.

“In order to support the longer-term growth potential”, Greggs is investing in manufacturing and logistics capacity including a national distribution centre for chilled and ambient goods – negotiations are in progress for the purchase of land in the Corby/Kettering area.

Greggs reported: “We have made a good start to the year with continued like-for-like growth in a challenging market, reflecting the strength of our strategic plan.”