Greggs makes record money in 2010

16th Mar 2011 07:06

Sausage roll fans filed into Greggs in record numbers during 2010, pushing profits up almost 8%, and like for like sales growth so far in 2011 is double what it was for all of 2010.The Newcastle-based company, which runs over 1,480 value bakers shops up and down the country, made £52.5m in the 52 weeks to 1 January, a record high and up from £48.8m in 2009. Six million hungry customers a week helped the cheap cakes and sandwiches firm increase sales by 2.1% to £662m and 0.2% on a like for like basis, as flagged in January's trading update.Chief executive Kennedy McMeikan is aiming for "marginally positive" like-for-like sales growth this year. And everything's gone as expected so far, with sales for the 10 weeks ended 12 March up 3.8% and 0.4% like for like.An ambitious plan to open at least 600 new shops is on track. Net additions were a record 68 last year - 93 opened and 25 shut - and around 80 net new shops are earmarked for 2011."The year ahead will continue to be challenging with rising global commodity prices being reflected in significant upward pressure on many of the key ingredient costs of all food producers," McMeikan says."However, we expect to continue making Greggs even more efficient and as part of this we are dedicating resources to identify and unlock further cost savings throughout the business."A final dividend of 12.7p a share takes the total payout to 18.2p, up a satisfying 9.6% on the year.