![\"Greggs\"](\"https:\/\/dailybusinessgroup.co.uk\/wp-content\/uploads\/2017\/10\/2017-10-05-16.49.53-scaled.jpg\")
Fast food chain is to close four factories across the UK, resulting in 740 job losses, though it continues to expect about 100 to 110 shop openings and 12 \u2018Greggs Express\u2019 convenience outlets.<\/p>\n
The company reported total sales up 7.7% and company-managed shop like-for-like sales increasing by 3.4% for the 13 weeks ending 26 September, contributing to a year-to-date total sales growth of 7.4%.<\/p>\n
The consolidation of its manufacturing operations will take place over two and a half years, with estimated cash costs of \u00a360 million and anticipated annual pre-tax operating cost savings of \u00a320m in 2028 and 2029. <\/p>\n
Despite these restructuring costs, Greggs now expects a modestly improved outcome for 2026 due to strong recent trading performance and cost control, with cost inflation remaining around 2% on a like-for-like basis.<\/p>\n
In its third quarter update, the company said: \u201cOur investment in additional capacity to serve at least 3,500 shops will enable further growth in the business, creating many more jobs and driving strong returns for shareholders. <\/p>\n
\u201cAlongside this investment programme, we have carried out a comprehensive review to determine where our future manufacturing activity should most effectively be located.\u201d<\/p>\n
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