In major news on UK stocks, Greggs PLC (GB:GRG) announced its annual results for 2023, achieving another year of sales and profit growth. In 2023, the company’s sales grew by 19.6%, and profits jumped by 13.1% compared to the previous year. Greggs shares traded up by 3.8% at the time of writing.
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Backed by solid numbers, Greggs declared a total dividend of 62p per share, marking a rise from the prior year’s 59p. In addition, the company declared a special dividend of 40p per share, offering additional value to investors.
Greggs is a British retail chain known for its wide range of bakery items.
Growth Driven by Record Store Openings
In 2023, Greggs achieved a milestone, with the opening of 220 new shops. It closed 75 shops, resulting in a net gain of 145 openings. The company operated 2,473 shops as of the end of 2023. In 2024, the company is targeting net openings in the range of 140 and 160 stores. In the long term, it envisions surpassing 3,000 shops in the UK.
Moving forward, the company is optimistic about its performance. It highlighted a strong start to the year, with an impressive 8.2% increase in like-for-like sales in company-managed shops in the first nine weeks of 2024.
Greggs is also anticipating a slowdown in cost increases, which should support earnings.
Are Greggs’ Shares a Good Buy?
According to TipRanks’ analyst consensus, GRG stock has received a Strong Buy rating, backed by all Buy recommendations from three analysts. The Greggs share price forecast is 3,243.3p, which is 13.5% higher than the current price level.
