Greggs PLC (LSE:GRG) said strong trading and careful cost control means it will report a full-year outcome in line with previous expectations when it reports results in March.
The retailer, famed for its value sausage rolls, said sales for fiscal year 2022 were £1,513mln, up 23.0%, compared to the previous year with like-for-like sales in company-managed shops 17.8% higher than sales seen in 2021.
Despite the impact of adverse weather and strikes at the end of 2022, fourth-quarter like-for-like sales in company-managed shops grew by 18.2% with seasonal lines in high demand.
This reflected strong sales of the “iconic” Festive Bake, shop-baked sweet mince pies and festive hot drinks, the company said.
The group said it continues to see material cost inflation in the year ahead but noted consumers remain attracted by its “value offering” in the food-on-the-go market.
Extended opening hours had also supported trading with 500 shops now open until 8pm and the company said early-evening is now the “fastest growing daypart as we extend availability to both walk-in and delivery customers”.
Roisin Currie, chief executive, commented: “While market conditions in 2023 will remain challenging, our value-for-money offer of freshly-prepared food and drink is highly relevant as consumers look to manage their budgets without compromising on quality and taste."
Peel Hunt said: "We see this as a solid effort given the strikes and the tricky weather, but our headline forecasts do not change today."