Greggs has posted a rise in sales and 14% boost in first-half profits as it maintained its full year guidance amid easing inflation.
Following ‘strong trading momentum’, the bakery retailer’s pre-tax profit hit £80m for the 26 weeks to July 1 2023, up from £55.8m during the same period last year.
Total sales increased to £844m from £694.5m for the period as company-managed shop sales on a like-for-like basis rose 16%.
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Greggs said its strong performance, the ease in cost inflation alongside new store openings, as well as growing evening trade and repeat visits driven by its loyalty app meant its forecasts for the year were unchanged.
“Whilst uncertainties in the economic outlook remain, we continue to trade in line with our plan and are making good progress against our strategic objective to grow the frequency of customer visits through new channels,” the company said.
“The strong trading momentum of the first half has continued into the second half of the year, with good sales reflecting the exceptional value that Greggs offers to customers who need food and drink on-the-go.”
Analysts are expecting Greggs to report pretax profit of about £163m for 2023, Refinitiv data shows, up 10% on the previous year.
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