Greggs has reported that total sales for the fourth quarter ended 27 December 2025 rose 7.4%, with total sales for the entire period increasing 6.8% to £2.15bn.
The bakery chain is said to have outperformed a subdued food-to-go market, as it revealed like-for-like sales in company-managed shops increased by 2.4% over the year, with fourth quarter like-for-like growth of 2.9%.
During the year, Greggs opened 207 new shops, averaging four openings a week. After 50 relocations and 36 closures, this resulted in 121 net new shops, taking the total estate to 2,739 outlets at the year end. Of these, 2,137 were company-managed and 602 were franchised.
The retailer stated that trading conditions remained challenging, citing low consumer confidence and the impact of weather extremes earlier in the year. Nevertheless, chief executive Roisin Currie said the group had “made good progress in 2025”, adding that Greggs continued to attract customers looking for value.
Greggs expects to open around 120 net new shops in 2026, supported by what it described as a strong pipeline of opportunities. The group also trialled three smaller-format “Bitesize Greggs” shops aimed at high-footfall locations with limited space.
Cost control remained a focus, with the company delivering £13m of efficiencies during the year through what it described as structural cost reductions across its supply chain and business processes. Input costs were in line with expectations, it said.
The retailer ended the year with net cash of £47m, down from £125m in 2024, reflecting what it said was the peak of its capital investment programme. Greggs said capital expenditure would reduce significantly in 2026 and again in 2027 as major distribution centre projects move beyond the build phase.
Looking ahead, the board said it expected to report full-year profit before tax for 2025 in line with previous expectations, excluding a one-off £4.5m accounting charge relating to prior years’ sales tax costs.
Greggs warned that consumer confidence was likely to remain a headwind in 2026 and that the introduction of new supply chain capacity would place temporary pressure on margins. However, it said lower like-for-like cost inflation compared with 2025 should help offset some of these pressures.
The company said it expected to deliver profits at a similar underlying level in 2026, with any improvement dependent on a recovery in the consumer backdrop.
Greggs is due to publish its preliminary results on 3 March 2026.
