Greggs believes profits will fail to meet analyst expectations

(Source: Getty)

Baker Greggs has released an interim management statement for the 17 weeks to 27 April (release). The firm saw total sales up 3 per cent with own shop like-for-like sales down 4.4 per cent. The most recent two week saw an underlying rate of like-for-like decline of 1.5 per cent.

We do not expect a significant improvement in the difficult underlying market conditions in the short term. The business is focused on continuing with our plans to invest in core sales performance whilst taking action to reduce costs. Although we are only four months into the year, based on current own shop like-for-like performance we believe that profits for the year are likely to be slightly below the lower end of the range of market expectations.

We believe that analysts' expectations for the financial year ending 28 December 2013 are in the range of £47.5 million to £55.2 million.