Food to go giant Greggs today reported its first ever loss in almost forty years, but is planning to expand in a post-pandemic recovery. A pre-tax loss of £13.7 million has been attributed to the impact from Covid-19 and the wider demise of the high street.
To combat reduced sales volumes of circa 36% on the high street, click and collect and delivery services through a partnership with Just Eat increased substantially.
Despite the loss and trading conditions Greggs management are confident that once trading can resume increasing the number of outlets will help build back profitability.
The expansion of outlets will focus on London, taking advantage of reduced costs to do so, as well as major travel hubs. Both segments that prior to the pandemic Greggs were underrepresented in.
Increasing the size of outlets is another growth tactic, with a target to grow the existing estate from circa 2,100 to 3,000.
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Hospitality & Catering News: First loss for Greggs prompts bold reopening expansion plan. – 16 March 2021 – First loss for Greggs prompts bold reopening expansion plan.
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