Greggs records £62.2million loss in first six months of the year - with sales still more than a quarter down despite branches reopening
Sales at Greggs are still more than a quarter down on this time in 2019, the baker has said, as it swung into a loss in the first half of the year.
Sales last week reached 72 percent of where they were during the same week last year, despite many sites and high streets reopening up and down the country.
The bakery chain registered a £62.2million loss for the first six months of the year, compared to a profit of £36.7 million last year.
Sales were down 45 percent to £300.6million over the same period.
Bosses hailed 2019 as an ‘exceptional’ year for the company with sales rising by 13.5 percent to £1.17billion.
But the coronavirus crisis, which saw the country go into lockdown in March, has taken its toll on high streets across the UK.
Greggs branches reopened with social distancing measures in place, in the first lifting of lockdown restrictions on June 18.
And chief executive Roger Whiteside remains positive that the company is 'well prepared’ to deal with the current challenges.
He said: “Following successive years of unbroken growth Greggs made a great start to 2020, coming into the year with momentum and clear strategic plans.
“The strength of our business model enabled us to secure the liquidity needed to support our business through the current crisis and then to adapt our operation and strategic investment plans in response to the new environment.
“I want to thank the amazing team of people in our business who have risen to the challenges created by this crisis both in supporting the wider community and working together to redesign our operation to work safely under these new conditions.
“Greggs is now well prepared to deal with the challenges of social distancing and operate through the conditions we are faced with. Greggs remains a much-loved brand with long-term growth opportunities and the business is better placed to adapt to new conditions than ever before.”