Markets sweet on Greggs results

The price of shares in FTSE 250 bakery chain Greggs (LON:GRG) climbed by 4.69% to 2,188p (as of 10:30 GMT) following news that pre-tax profits for 2019 were up by 31%. Total sales during the year rose by 13.5% as the number of branches continued to increase and the company started rolling out delivery service.

CEO Roger Whiteside commented: “2019 was an exceptional year of progress for Greggs, during which we experienced a sustained increase in customer visits as increased awareness and appreciation of our brand gathered momentum. Our exceptional performance was founded on the changes that we have made across our multi-year strategic investment programme, which has delivered transformational change across the business and has now set us up for the next phase of growth.

“We made a very strong start to 2020 in January, but in February saw a significant slowdown in sales growth as a result of the storms that have affected the UK. There is some uncertainty in the outlook, particularly given the potential impact of Coronavirus. This aside we expect to make year-on-year progress and will do so from a strong financial position, supporting our investment for further growth whilst also delivering good returns for all stakeholders“.