Hot cross buns boost Greggs
HOT cross bun sales have helped to boost business at Newcastle bakers Greggs.
It sold more than 2.3 million of the Easter treats this year, 10% more than it did in 2008, as it reported a 2% rise in like-for-like sales for the 19 weeks until May 9.
The group, which has around 1,400 Greggs shops nationwide selling sandwiches, pasties and cakes, revealed the figures head of its annual general meeting being held in Newcastle today.
Greggs chairman Derek Netherton said: “Since our preliminary results announcement in March we have enjoyed a successful Easter.
“During recent weeks there have been some encouraging signs of greater stability in customer numbers.
“Our current promotional emphasis includes our famous cheese and onion pasties, now featuring an improved three cheese recipe, sandwiches made with even better freshly baked bread, and new Belgian chocolate muffins.”
Greggs, which announced in March that its sales rose by 4.4% last year but its pre-tax profits dipped by 3.3% to £45.2m, began airing its latest TV adverts last month.
Mr Netherton added: “All these activities emphasise the high quality as well as the outstanding value for money that Greggs offers. This is an enduring strength of the business and one that is particularly appropriate to consumers in the current climate.”
The baker is now pushing ahead with its plans to create a single Greggs brand across the UK and has converted 35 of its 160 Bakers Oven shops to the Greggs colours.
The business, which has now sold its 10 shops in Belgium, is also looking for the AGM’s approval to introduce a scheme making its shares more accessible to its own staff and to small shareholders.
Greggs said its current performance was in line with its expectations. Although the price of ingredients is rising, it said that had been balanced out by cheaper energy costs.
