Greggs profits rise 20% as health-focused menu and store expansion pay off
The UK’s largest fast-food chain posted a 20% jump in first-half profits, demonstrating that shifting consumer habits toward health-conscious eating and value pricing can sustain growth despite broader economic headwinds.
Greggs has reported a 20% increase in first-half pre-tax profits, reaching £76.0m for the 26 weeks ending in June. Total sales for the UK bakery chain rose 7.2% to £1.1 billion over the same period, up from £63.5m in profit a year prior.
The results highlight a strategic shift by the company to align with changing dietary habits and economic pressures. Chief executive Roisin Currie noted the business is "broadening and innovating our menu in line with changing tastes and trends", specifically introducing high-protein salads and iced matcha lattes to attract younger demographics.
This pivot also addresses broader societal shifts, including the rise of weight-loss medications. Currie previously acknowledged that these drugs lead customers to seek "smaller portions", a trend the bakery is managing while maintaining its reputation for value.
To protect consumers facing economic uncertainty, the company has ruled out further price increases following adjustments made in May. Currie stated that "Our prices are in a good place" and the firm is working hard to protect the consumer.
Greggs continues to expand its physical footprint, opening 34 new locations in the first half while closing 31, bringing its total to 2,773. Reflecting a broader retail shift away from traditional high streets, more than half of the new sites opened in non-high street locations such as petrol forecourts and hospitals.
The company is carefully monitoring these openings to ensure they boost overall visits "without cannibalising existing shop sales". Additionally, home delivery now accounts for 6.9% of sales, with the company noting that delivery customers typically spend three times more than those shopping in-store.
Industry observers view the results as a sign of underlying market resilience. Susannah Streeter of Wealth Club said the figures prove "there's still healthy appetite for affordable treats" and praised the chain's ability to compete with premium cafes.
Julie Palmer of BTG Consulting added that the business has shown notable operational strength. She noted it has remained resilient against "weight-loss drugs, low spending and confidence, and rising employment and business costs".
Despite the strong first half, Greggs expects second-half profits to decline year-on-year due to heavy investment in its supply chain. The group maintains its full-year guidance, targeting an underlying pre-tax profit similar to 2025’s £172m, while continuing to trial new formats to reach a potential total of 3,500 stores.
