Greggs’ sales are continuing to grow but at a slower rate than previously, the company has announced.
The Newcastle-based bakery chain has released a trading update from the third quarter of its 2025 financial year in which total sales were up 6.1%. Sales for the year-to-date were up 6.7%.
On a like-for-like basis, excluding the impact of new shop openings, sales were up 1.5% in the third quarter and 2.2% year-to-date. But Greggs said it had seen improved trading in August and September after the hot weather in July put some people off its products.
READ MORE: {}
Greggs said that it had opened 57 more stores than previously and was expecting to add around 120 to its estate this year. That is below previous expectations, though it insisted it had a “strong pipeline” of new sites for the rest of the year and 2026.
It also highlighted a “marginally improved outlook for cost inflation” and said that its expectations for its full year remained unchanged.
The company said: “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.”
In the trading update, Greggs highlighted the success of some new products, including sourdough toasties and its pulled pork sandwich. Season items set to be introduced in the autumn include the Pumpkin Spice Latte, which will now be available over ice, and a Pumpkin Spice Doughnut and Toffee Fudge Muffin.
Most Read
The company has also extended its frozen Bake at Home range through a new relationship with Tesco, as well as its existing partnership with Iceland.
So far this year, Greggs has opened 130 new shops and closed 73, giving it a net gain of 57 and taking its estate to 2.675 stores. Openings in recent weeks have included more supermarket locations with Tesco and Sainsburys while a number of high street sites have moved to larger premises.
The company recently opened a Greggs-themed pub in association with fellow Newcastle firm Fenwick. It also launched a range of Greggs-themed bean bags and cushions.