Greggs' vegan sausage rolls drive sales
The chain is looking to expand in travel and workplace spaces.
Greggs anticipates that their sales will be “materially higher” for the year as a whole than previously expected, helped by the roll-out of its vegan-friendly sausage rolls.
“Whilst there have been some increases in input costs, we expect overall cost inflation to be broadly in line with our plans for the year. In the balance of the year we plan to increase investment in strategic initiatives that will deliver further long-term growth,” the company said in a trading update.
“Taking all this into account, the Board believes that underlying profits (before exceptional costs) for the year will be materially higher than its previous expectation.”
The chain’s total sales for the 19 weeks to 11 May 2019 grew by 15.1% whilst like-for-like sales in company-managed shops grew by 11.1% over the same period.
In the first 19 weeks, Greggs opened 38 new shops, including 10 franchised units in transport locations. This was offset by the closure of 22 shops, giving a total of 1,969 shops trading as of May 11, comprised of 1,700 company-managed shops and 269 franchised units.
“Our shop openings continue to take the Greggs brand into new food-on-the-go locations, and are increasing our presence in travel and workplace catchments. The success of sites such as our new unit at London Bridge station give us confidence to pursue further openings in similar locations,” the chain explained.
The update also comes after Greggs' launch of its new summer lunch range.
New items include the Feta & Tomato pasta, consisting of red and yellow peppers, red onion and spinach with tomato and basil dressing; Mexican Bean & Sweet Potato wrap, Sparkling Mango & Pineapple drink among others.
