• Greggs shares surge 9.9% after Q3 trading update.
• The group reported total sales increased 14.6%.
• Guidance for Greggs remains unchanged.

Greggs reported its Q3 trading update on Tuesday, which saw the company remain resilient with Q3 sales growth despite inflationary pressures.

Greggs shares surged 9.9% following the announcement.

The bakery chain reported total sales increased 14.6% for the 13 weeks to 1 October. In addition, like-for-like sales in company-managed shops were 9.7% higher.

Greggs has remained resilient as they continue to expect around 150 net shop openings in 2022.

Despite the company’s year-on-year growth moderating in August, Greggs stated momentum had returned in September.

Greggs stated they have continued “to trade well in an environment where cost pressures are significant.” There remains considerable uncertainty, however, Greggs expects to trade in line with its plan and expects its full year outcome to be in line with previous expectations.

They have also made no change to the cost inflation, which remains consistent with its previous guidance.

Furthermore, the company announced Matt Davies will succeed Ian Durant as Chair of the Board of Greggs on 1 November, when Ian steps down.