Greggs is anticipating full year operating profit to be “modestly below” that of 2024 after customer appetites were stifled by soaring temperatures in June.
In an unscheduled first half 2025 trading update for the 26 weeks ended 28 June 2025, the bakery chain reported like-for-like sales across its company-managed shops had risen by 2.6% compared to H1 2024. Last year, first half sales grew by 13.8%.
Greggs noted that its improved sales performance for the first 11 weeks of this year (up to 17 May 2025) had continued throughout the rest of May, but LFL sales last month had been impacted by the very high temperatures in the UK. Demand for cold drinks had increased at stores, it said, while overall footfall had been reduced.
Total sales for the first half of 2025 grew 6.9% to £1bn (2024: £961m), keeping Greggs on track for another £2bn turnover year. It also revealed the following quarterly split of LFL sales that showed how 2025 growth is well off the pace of the previous year.
| Q1 | Q2 | Q3 | Q4 | |
|---|---|---|---|---|
|
2024 |
7.6% |
6.5% |
5.2% |
2.7% |
|
2025 |
2.4% |
2.8% |
|
|
Greggs continued to expand its retail footprint in H1 2025, opening 87 shops while closing 56 during the period to leave it with an estate of 2,649 stores trading as of 28 June – 2,085 company-managed sites and 564 franchised units.
The business said it remained confident in achieving its target of between 140 to 150 net openings for the full year. It added that its refurbishment activity has been biased to the first half of 2025, with 108 refits being completed and around 50 more planned for the remainder of the year.
With the phasing of refurbishments and cost recovery initiatives across the current year, coupled with a stronger comparative trading performance in H1 2024, the Greggs board is expecting first half operating profit to be lower than last year when it publishes its interim results on 29 July.
“For the full year, our cost inflation outlook remains unchanged and planned cost mitigation measures are expected to enhance second half performance,” it said. “Whilst acknowledging that comparative LFL sales are less demanding in the second half of the year, in light of the current trading conditions the Board now anticipates that the full year operating profit could be modestly below that achieved in 2024.”
Last month, it began construction of its new national distribution centre at Symmetry Park in Kettering, which is expected to become fully operational by 2027. Also supporting UK-wide expansion is the building of a new frozen product manufacturing and logistics facility in Derby, due to come online in late 2026.
As the latest in its pledge towards more sustainable operations, Greggs opened its first Eco Drive-Thru in Winchester in recent weeks featuring the likes of sun tubes, low energy light fittings with daylight harvesting tech, solar panels, a rainwater harvesting unit, and a new heat recovery system.
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