Greggs, a popular chain known for its sausage rolls, remains committed to its expansion plans despite a decrease in annual profits. The bakery chain added a net total of 121 new stores in 2025, bringing its total locations to 2,739 by the end of the year. It aims to open around 120 more stores this year to reach its long-term goal of exceeding 3,000 UK locations.
However, Greggs reported a decline in pre-tax profits, with statutory profits dropping by 17.9% and underlying profits decreasing by 9.4%. The company attributed this decline to increased fixed costs related to manufacturing, logistics, and technology, as well as a decrease in sales volume from existing stores. Despite this, the overall revenue grew by 6.8% to £2.15 billion, with same-store sales seeing a 2.4% increase.
In the first nine weeks of the current year, sales from stores open for at least a year only grew by 1.6%. Greggs has been expanding beyond traditional high street locations, opening new stores in various places like petrol stations, supermarkets, retail parks, hospitals, and university campuses, including key transport hubs like airports and railway stations.
The company acknowledged changing consumer preferences towards healthier options and smaller portions. It plans to adapt its menu to cater to these evolving trends. Greggs is optimistic that inflationary pressures impacting its costs may ease in the future.
Roisin Currie, the CEO of Greggs, expressed confidence in the company’s performance and strategic direction for the upcoming year. The chain also announced benefits for its employees, including opportunities to participate in share schemes and profit-sharing initiatives.
Analysts have provided mixed views on Greggs’ performance, with some noting a slowdown in trading while others highlight the company’s efforts to drive future growth. With plans to increase the number of stores and adapt menus to meet customer demands, Greggs aims to enhance accessibility and appeal to a wider audience.