Greggs Reports Strong First-Half Performance Amid Cost Management
Greggs reported strong first-half performance in fiscal year 2026, with total sales rising by 7.2% and profit before tax increasing by 19.7% to £76 million. The company managed like-for-like sales growth of 2.1%, driven partly by estate expansion contributing twice as much as same-store sales. Despite easing cost pressures—Greggs reduced its inflation forecast for the year to around 2% and achieved £7 million in structural savings—the firm expects flat full-year profits due to additional costs from a new Derby distribution center. The company maintained an interim dividend of 19p per share and adjusted guidance, including reducing capital expenditure expectations. Greggs is also expanding its store formats with smaller Bite Size locations and exploring self-service models while increasing grocery product availability through partnerships like Iceland and Tesco.