Greggs Shares Surge as First-Half Profits Beat Expectations

Shares in Greggs (LON: GRG) have surged as much as 11% on Wednesday, hitting a high of 1,890p after the bakery chain reported stronger-than-expected interim results and reaffirmed full-year guidance.

The FTSE 250 group posted total sales of £1.1 billion for the 26 weeks to 27 June 2026, up 7.2% year-on-year, driven by company-managed like-for-like sales growth of 2.1%, franchise like-for-like growth of 1.3%, and continued estate expansion. Operating profit jumped 22.9% to £86.5 million, while pre-tax profit rose 19.7% to £76.0 million. Diluted earnings per share climbed to 54.9p from 45.3p a year earlier.

Chief Executive Roisin Currie CBE said Greggs “continued to outperform the market,” crediting improved sales and strong cost control for the profitable growth, while confirming the Board’s full-year expectations remain unchanged.

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The value bakery chain continues to take market share in a tough consumer environment, with its share of visits rising 0.3 percentage points to 8.7% over the 12 months to June. Management pointed to menu innovation—including Iced Matcha Lattes and a new Chicken Roll—plus growing traction in grocery retail via Tesco and Iceland partnerships, and rising loyalty app usage, now scanned in 31% of company-managed transactions, up from 25.7%.

Greggs added 34 net new shops in the period, taking its estate to 2,773, and reiterated plans for 100-110 net openings this year, alongside new formats such as “bitesize Greggs” and “Greggs Express” convenience trials.

Capital expenditure guidance was trimmed to around £180 million from £200 million, while structural cost savings of £11 million remain targeted for 2026, with £7 million already delivered. The interim dividend was held at 19.0p per share.