Meat in the sandwiches for Greggs
Tuesday 15 March 1994
Mike Darrington, the managing director, said price competition had squeezed sales of bread and rolls. However, group profits and margins moved ahead thanks to value- added products such as sandwiches and pies. 'We are as much a sandwich bar-cum-takeaway as we are a bread shop,' Mr Darrington said.
'The cake business was satisfactory and we achieved very strong gains in the sandwich market, together with good growth in our savoury business,' he added.
Pre-tax profits for the 53 weeks to 1 January were pounds 9m, 29 per cent up on 1992. The operating profit margin rose from 6.7 to 7.7 per cent.
Mr Darrington said margins were also helped by increased efficiencies - the costs of energy, distribution, raw materials, rent and rates were all reduced.
Greggs now has 500 shops and wants to open 20 more this year. It also has plans to spend pounds 8.5m on new baking facilities. The capital expenditure will be funded out of cash balances, which grew to pounds 12.5m by the year end.
Earnings per share rose to 53p from 40.6p. The dividend is 18p compared with 15p last time. The shares gained sharply, closing 35p higher at 753p.
- 2 Harry Potter fans can apply to the Hogwarts-inspired College of Wizardry
- 3 Jessica Chambers: 19-year-old woman 'doused with lighter fluid and burned alive' in the US
- 4 Russell Brand calls Nigel Farage 'poundshop Enoch Powell' in BBC Question Time debate
- 5 Orange Wednesdays are no more
Weather bomb in pictures: Storms cuts power for tens of thousands – and snow is on the way
Jessica Chambers: 19-year-old woman 'doused with lighter fluid and burned alive' in the US
Russell Brand calls Nigel Farage 'poundshop Enoch Powell' in BBC Question Time debate
Russell Brand was rendered speechless on Question Time by this man
Fury at Airbus after it hints the super-jumbo may be mothballed
Disgruntled RBS worker writes hilarious open letter to Russell Brand after anti-capitalist publicity stunt leaves him hungry
Shock poll shows voters believe Ukip is to the left of the Tories
Nigel Farage's approval rating hits 'record low' as popularity suffers in wake of Ukip sex scandal
Nigel Farage defends Kerry Smith 'ch***y' comment: 'If you are going for a Chinese, what do you say you’re going for?'
Ukip candidate jokes about 'shooting peasants' in racist and homophobic rant
Pakistan school attack live: Taliban kill at least 132 children in 'horrifying' massacre
iJobs Money & Business
$200 - $350 per annum: Carlton Senior Appointments: Managing Producer Office...
$125 - $225 per annum: Carlton Senior Appointments: San Fran - Investment Advi...
Up to £70,000 per annum + benefits: Sheridan Maine: Are you a qualified accoun...
Up to £65,000 per annum + benefits: Sheridan Maine: Are you a qualified accoun...