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Greggs sales jump 7.2% on new menu items and store expansion

Created at 29 Jul · 10:21 AM1 source↑ Market-relevant
IN SHORT

Greggs reported a 7.2% increase in total sales to £1.1bn for the first half of the year, driven by new menu items like iced matcha lattes and chicken rolls, alongside the opening of 34 new stores. Profit rose nearly 20% to £76m.

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Key Numbers

£1.1bntotal sales for first six months
7.2%sales increase year-on-year
34new sites opened net
2,773total Greggs outlets
2.1%sales increase at existing stores
£76mpre-tax profit for first half
20%profit increase year-on-year

Who's Involved

Greggs
UK bakery chain reporting sales and profit figures
Roisin Currie
Chief executive of Greggs
Julie Palmer
Managing partner at BTG advisory group

↳ Why This Matters

The strong sales and profit growth indicate Greggs' resilience and adaptability in a challenging economic climate, demonstrating its ability to innovate its menu and expand its store footprint effectively to meet consumer demand.

Key facts

  • Greggs reported total sales of £1.1bn for the first half of the year, a 7.2% increase year-on-year.
  • The company opened 34 new stores, bringing its total to 2,773 outlets.
  • Profit before tax rose by nearly 20% to £76m.
  • New products like iced matcha lattes and chicken rolls contributed to sales growth.
  • Sales at existing stores increased by 2.1%.

Greggs has reported a significant increase in sales for the first half of the year, with total sales reaching £1.1bn, a 7.2% rise compared to the same period in the previous year. This growth was attributed to the introduction of new menu items, including iced matcha lattes and chicken rolls, which proved popular during summer heatwaves, as well as an expansion of its salad and 'bake at home' ranges.

The company also continued its store expansion, opening 34 new sites on a net basis, bringing the total number of Greggs outlets across the UK to 2,773 by the end of June. Sales at existing stores saw a 2.1% increase.

Pre-tax profit for the first half of the year rose by almost 20% to £76m, a performance Greggs linked to effective cost control and the success of its expanded product offerings. This marks a turnaround from the previous summer when sales were impacted by hot weather.

Chief executive Roisin Currie stated that the results demonstrate the company's ability to "outperform the market" and reaffirmed its focus on strategic location expansion and menu innovation to meet evolving customer tastes. Financial analyst Julie Palmer noted that Greggs must continue to balance pricing and cost control amidst economic challenges and the growing use of weight-loss drugs.

Frequently asked questions

Greggs' total sales for the first six months of the year were £1.1bn.

The company's pre-tax profit rose by almost 20% from a year earlier to £76m.

New products such as iced matcha lattes, a new chicken roll, and an expanded range of salads were successful.

Greggs opened 34 new sites on a net basis during the first half of the year.

What Happens Next

01Greggs will continue to focus on opening shops in more catchments.
02The company plans to broaden and innovate its menu in line with changing tastes.
03Greggs will continue to balance pricing and cost control.

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Cadence

How It Developed

Greggs total sales rose to £1.1bn in the first six months of the year.
Sales increased by 7.2% compared to the same period a year prior.
The company opened 34 new sites on a net basis.
Greggs outlets increased to 2,773 by the end of June.
Sales at existing stores rose by 2.1% between January and June.
Pre-tax profit increased by almost 20% to £76m.
New menu items, including a chicken roll and relaunched salads, were successful.
New drinks like iced matcha lattes appealed to younger customers.

Sources

T1
Greggs sales jump as iced matcha lattes and chicken rolls become heatwave hitsThe Guardian

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