Gail’s posts strong annual sales following steady outlet growth

Gail’s opened its first site in Hampstead in 2005 and currently operates 127 outlets | Photo credit: via Shuttterstock

Gail’s has posted very strong full-year sales growth as the expansion of its neighbourhood bakery model continues to gather pace across the UK. 
 

Filings for parent company Grain Topco Ltd, formerly Bread Holdings, show that Gail’s revenues reached £135.3m ($158.3m) in the 12 months ended 28 February 2023. The group posted sales of £45.5m ($57.3m) in the five months ended 28 February 2022 – Grain Topco Ltd was incorporated in August 2021. 

Gross profit margin fell 6% during the year as a result of rising commodity prices and global supply chain disruption. Loss before tax reached £15.4m ($19.4m) compared to £11.2m ($14.1m) in the five-month period to 28 February 2022. 

Gail’s opened 28 new outlets in the 12 months to March 2023 and expects to open a similar number this financial year across a ‘widening geographic area of the UK’.  

Gail’s opened its first site in Hampstead, London, in 2005 and currently operates 127 outlets primarily across largely affluent areas of the UK capital and the home counties. The brand’s first venture outside of south-east England was in Wilmslow, Cheshire in February 2023. Gail’s has since opened stores in the surrounding towns of Knutsford, Didsbury and Altringham. 

“Gail’s continues to be the fastest growing and more profitable part of the group. But the market also remains very competitive and the group recognises that to be able to grow it must continue to provide innovative world-class food in attractive neighbourhood bakeries,” a statement said. 

Gail’s contributed 74% of Grain Topco Ltd’s total 12-month sales. The group’s wholesale business, comprising The Bread Factory and The Bertinet Bakery, posted sales of £70.2m ($88.7m), compared to £25.2m ($31.8m) in the five months ended 28 February 2022.