REG - Greggs PLC - Q3 Trading Update

GreggsAnnouncement

Wed 07:00

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RNS Number : 4847B  Greggs PLC  01 October 2025

1 October 2025

GREGGS PLC

("Greggs" or the "Company")

 

Q3 TRADING UPDATE

 

Progress in a challenging market; full year outlook unchanged

 

 

Q3 highlights

 

·    Total sales up 6.1% for the 13 weeks to 27 September 2025, and 6.7%
year-to-date

·    Company-managed shop like-for-like* sales up 1.5% for the 13 weeks to
27 September 2025, and 2.2% year-to-date

·    Improved trading in August and September following heat-affected July

·    130 new shop openings in the year-to-date, 73 closures (including 39
relocations), resulting in 57 net new shops opened

·    Expect around 120 net shop openings in 2025 with a strong pipeline
for Q4 and into 2026

·    Bake at Home range now in 930 Iceland and 820 Tesco stores and online

·    Marginally improved outlook for cost inflation in 2025

·    Board's expectation for the full year outcome is unchanged, and we
remain clear on the strategic opportunities that lie ahead

* Like-for-like (LFL) company-managed shop sales performance against
comparable period in 2024

 

Trading performance

 

Greggs delivered 6.1% sales growth over the third quarter of 2025, with LFL
sales in company-managed shops rising by 1.5% when compared with the same
period in 2024. While unusually high temperatures persisted throughout July,
which held back performance during the month, trading improved in August and
September in more stable conditions.  Year-to-date total sales are up 6.7%,
with LFL sales up 2.2%.

 

Our autumn menu focuses on quality and value, supported by the "Big Deal", our
new meal deal, which offers customers any sandwich or salad, a drink, and a
side from just £5.  The menu continues to evolve and, as demand for
high-protein options continues to grow, we have introduced new Egg Pots and
Protein Shakes as convenient options for customers on the go.

 

We have upgraded our sandwich options and new sourdough toasties enhance
Greggs appeal across the day.  Encouraged by the early success of our Pulled
Pork Sandwich trial, this product has now been extended to 350 shops and
innovation continues in our iconic savouries, with the flavourful Chicken
Fajita Bake and the return of the Vegan Lattice (Steak-Free), catering to
flexitarian trends.  Seasonal highlights for autumn include the great value
Pumpkin Spice Latte, now also available over ice, and sweet additions like the
Pumpkin Spice Doughnut and Toffee Fudge Muffin.

 

As previously announced, in September we extended the availability of our
frozen 'Bake at Home' range through a new relationship with Tesco, initially
launching a selection of five products.  Our Bake at Home range is now
available in 930 Iceland and 820 Tesco stores across the UK and online.

 

Shop estate and supply chain development

 

In the year to date we have opened 130 new shops and closed 73 shops
(including 39 relocations), resulting in 57 net new openings and a total of
2,675 shops trading at 27 September 2025 (comprising 2,096 company-managed
shops and 579 franchised units).  Openings in the third quarter included
further supermarket locations in partnership with Tesco and Sainsburys and the
relocation of traditional high street stores that will benefit from additional
space and facilities to support further growth.  For the year as a whole, we
now expect around 120 net new shop openings, slightly lower than our previous
estimate, reflecting the timing of opportunities.  Our pipeline remains
strong into 2026 as we extend access to Greggs in under-penetrated catchments
whilst relocating smaller existing shops to better locations.

 

Investment in our supply chain capacity is progressing well, supporting our
estate growth plans. The testing of automation capabilities at our new frozen
product manufacturing and logistics facility in Derby is proceeding in line
with plan, with the site on track to open in 2026. The construction phase for
our new chilled and ambient National Distribution Centre in Kettering is
nearing completion, as planned, and the focus will move to fitting out the
facility ahead of bringing it into operation in 2027.

 

Outlook

 

Greggs continues to make progress despite challenging market conditions,
evolving its offer further and making the brand more convenient for a wider
range of customers through disciplined estate expansion. Our two new
distribution centres in Derby and Kettering are on track to open in 2026 and
2027 respectively and will support the next phase of this growth.
 Operational costs have been well managed and the outlook for cost inflation
in 2025 is marginally improved. The Board's expectation for the full year
outcome is unchanged and we remain clear on the strategic opportunities that
lie ahead.

 

 

 

 ENQUIRIES:
 Greggs plc                                Hudson Sandler
 Roisin Currie, Chief Executive            Wendy Baker / Hattie Dreyfus

 Richard Hutton, Chief Financial Officer   / Emily Brooker

 David Watson, Head of IR                  Email: greggs@hudsonsandler.com (mailto:greggs@hudsonsandler.com)
 Tel:  0191 281 7721                       Tel:  020 7796 4133

 

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