Greggs, a popular chain known for its sausage rolls, has affirmed its commitment to expanding its store network despite a decline in profits. The bakery chain disclosed a decrease in annual profits, with a 17.9% drop in pre-tax profits to £167.4 million for the year ending December 27. Despite this, Greggs managed to increase its total takings by 6.8% to £2.15 billion by opening 121 new branches in 2025, bringing its total store count to 2,739 locations.
The company plans to continue its expansion efforts by adding approximately 120 more stores this year, with a long-term goal of surpassing 3,000 shops across the UK. However, underlying profits dipped by 9.4% to £171.9 million, attributed to increased fixed costs related to manufacturing, logistics, and technology capacity, along with a decline in sales at existing stores. In the first nine weeks of the current year, sales at stores open for at least a year grew by only 1.6%.
Despite facing changing consumer preferences and increased costs, Greggs remains optimistic about the future. The chain is adapting its menu to cater to evolving dietary trends, offering options with increased protein, more fiber, and smaller portions. The company believes it can meet the demand for varied nutritional profiles and portion sizes in the out-of-home dining sector.
Roisin Currie, Greggs’ CEO, highlighted the company’s resilience in 2025 and emphasized strategic progress. With hopes of easing inflationary pressures, Greggs anticipates continued consumer spending on convenient food-on-the-go. The chain is focused on expanding its reach through new store openings, product launches, and enhanced customer engagement through its app.
Additionally, Greggs announced employee benefits, including a sharesave scheme and profit-sharing opportunities for its workforce of 33,000 employees. Analysts have commented on the company’s performance, with varied perspectives on its strategies and outlook for growth.
