In a trading statement released today, the company, which owns outlets throughout England and Scotland, said like for like sales in the last three weeks of 2006 rose by 3.3 per cent and by 0.9 per cent as a whole in the second half of the financial year.

The encouraging results come after disappointing trading in the summer saw profits drop 20 per cent from £15.6m (€23m) to £12.5m (€18.5m). Following the slump, the company embarked on a reinvigoration of the well-established brand in order to increase its foothold in the competitive takeaway snacking sector.

The group's Northern and Scottish operations which have traditionally fared better than the Southern English outlets underwent a significant overhaul last year with 14 shops closing and the rebranding of 49 Bakers Oven stores to Greggs.

In today's statement the company said it had closed 48 shops in total over the year and closed 31.

The company now intend to focus on increasing its Healthier Options range of salads, fruit snacks and filled wraps to attract health conscious consumers as well as investing in greater research, marketing and advertising.