Business

Greggs reports sales rise as healthy eating ranges prove popular

Greggs boss Roger Whiteside pictured on a recent visit to Belfast. The chain has reported a strong start to the year
Greggs boss Roger Whiteside pictured on a recent visit to Belfast. The chain has reported a strong start to the year Greggs boss Roger Whiteside pictured on a recent visit to Belfast. The chain has reported a strong start to the year

FOOD-on-the-go giant Greggs has reported a strong start to the year after being boosted by its healthy eating ranges, including cold-pressed juice and freshly prepared salads.

Greggs - which has a dozen outlets in Northern Ireland - said like-for-like sales rose 3.6 per cent in the 19 weeks to May 13, with total sales growing 7.5 per cent.

The company, best known for sausage rolls, doughnuts and pasties, said sales of healthier food - such as coconut, lime and chilli chicken salads and wraps - were proving a hit with customers.

Greggs added that customers "increasingly recognise the quality and value" of its £2 breakfast deal.

However, the firm warned that the slowing economy and higher inflation poses a risk.

"We have made a good start to 2017 although the sales outlook remains uncertain in the context of slowing growth in disposable incomes.

"Input cost inflation is having a modest impact on margins in the first half of the year as expected, however we have increasing visibility of costs for the second half and anticipate this pressure to ease towards the end of the year," the firm said in a trading update.

Greggs said this will "constrain" profit growth in the first half of the year but it is still in line to meet expectations.

The company manages 10 stores in the north while the three branches at Applegreen service stations are run as franchises.

In December, during a visit to Belfast, Greggs boss Roger Whiteside insisted the chain has ambitious growth plans for Northern Ireland but refused to put a number on its stores portfolio.