Greggs updates on expansion and rising costs – Daily Business

Greggs has been opening more stores (pic: DB Media Services)

Greggs has been adjusting to the impact of weight-loss drugs on the takeaway trade and the rising cost of labour on profit margins.

What are now viewed as over-ambitious targets before Roisin Currie took over as CEO in 2022 have been seen as an underlying concern. Even so, the company continues toll our stores at pace, say analysts at AJ Bell.

Investors will be looking at this week’s trading statement to see if an overhaul of its logistics set-up and supply chain has helped address the bottlenecks the business has been facing and whether the big spending in this area will start to slow.

There will also be attention on how footfall is faring and whether initiatives such as evening openings and deliveries through Uber Eats and Just Eat are continuing to pay off.

The Bell team says there will also be focus on Greggs’ ability to pass on rising costs to consumers, how its new healthier options are being received and whether it is seeing any immediate impact from the situation in the Middle East in terms of demand and inflationary pressures. 

DIARY 

Monday 11 May 

First-half results from Compass

US Federal Reserve chair confirmation vote 

 Tuesday 12 May

Full-year results from 3i Infrastructure, Angling Direct, Bytes Technology and Vodafone

Trading statements from Greggs and IMI

AGM Macfarlane Group

US CPI inflation

Wednesday 13 May 

Full-year results from Vertu Motors

First-half results from Avon Technologies 

Thursday 14 May 

Full-year results from 3i Group, Burberry, Land Securities, National Grid and United Utilities

Trading statement from ITV 

UK GDP

US retail sales

Friday 15 May 

In the US, quarterly results from Applied Materials

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