Greggs predicts first annual loss in 37 years

Greggs has forecast a £15m full-year financial loss due to Covid-19 restrictions closing its stores and reducing revenues.

The bakery chain’s annual sales dropped by more than £300m year-on-year in 2020, resulting in the company’s first annual loss since it listed on the London Stock Exchange in 1984.

The company’s Q4 sales averaged 81% of the equivalent 2019 level and reported sales of £811m for the 53 weeks to 2 January 2021, while dealing with varying trading conditions across the country.

Roger Whiteside, Greggs’ chief executive, said: “In a year like no other I am enormously proud of the way in which our team has risen to the challenges we have faced, whilst looking after the interests of all stakeholders and providing support for communities.

“Whilst the impact of Covid-19 has been enormous, we have established working practices that allow us to provide takeaway food services under the different levels of restrictions we have experienced.”

He added: “The breadth of Greggs’ customer base provides ongoing demand for our services which, combined with our diverse geographical spread, has demonstrated the resilience of our business.”