UK bakery chain Greggs cuts profits forecast

UK bakery chain Greggs today blamed weather-hit sales and rising costs for its decision to cut £3m (€3.8m) from full-year profit forecasts.

Greggs, which has 1,400 outlets in the UK, said increases in energy and ingredient costs were not passed on in full to customers.

It said poor weather throughout August and early September caused like-for-like sales growth to slow to 3.9% in the 16 weeks to October 4, although sales since mid-September picked up to show growth of 5.7%.

Analysts had been expecting a pre-tax profits haul of around £48m (€60.5m) for the year to the end of December.

Greggs said: “As a consequence of the period of slower sales growth and temporary margin impact from higher costs we are reducing our expectations of operating profit for the current financial year by some £3m (€3.8m).”

More in this Section

Cork and Dublin airport operator Daa eyes up to 1,000 job cuts as losses mountCork and Dublin airport operator Daa eyes up to 1,000 job cuts as losses mount

Aer Lingus owner won't say whether it has plans to sue Ireland over Covid-19 quarantineAer Lingus owner won't say whether it has plans to sue Ireland over Covid-19 quarantine

Warning over 'two speed' Irish economy when Covid-19 crisis endsWarning over 'two speed' Irish economy when Covid-19 crisis ends

Hairdressers want further trimming of shortened reopening roadmapHairdressers want further trimming of shortened reopening roadmap


Lifestyle

Throw all the veg you’ve got into this easy dish.Jack Monroe’s recalibration supper recipe

In a time when our shopping and cooking needs to be efficient and easy, we are bringing back our One List, Five Meals recipe pages.Michelle Darmody's One list, Five meals

What is the future of fashion and how will the ‘high street’ look when this is all over? Corina Gaffey asks those in the knowThe future of fashion: How the crisis will impact the retail industry and what we wear

Surveying the global market, Des O’Sullivan says when the going gets tough, the tough get goingHow art world is putting changed times in picture

More From The Irish Examiner