Greggs Boosts Profits 20% With Matcha Lattes and High-Protein Menu Shift

UK bakery chain Greggs has delivered a 20% rise in pre-tax profit to £76 million for the first half of the year, driven by a strategic pivot toward matcha iced lattes, high-protein salads, and expanded chicken offerings. The company's total sales reached £1.1 billion, up 7.2% year-on-year, as it opened 34 new stores and adapted its menu to appeal to younger, health-conscious consumers and summer heatwave demand.

Sales Growth and Store Expansion

Greggs, which operates more UK outlets than McDonald's, brought its total store count to 2,773 locations by the end of June. The chain opened 34 new sites on a net basis, with more than half positioned in areas previously without a Greggs store within a mile, and many located in non-traditional venues including petrol forecourts, supermarkets, hospitals, and university campuses. Sales at existing stores increased by 2.1% during the six-month period, a figure boosted by price increases implemented at the start of the year.

Menu Innovation and Consumer Adaptation

The company relaunched its salad range in May, emphasizing increased protein options and expanded choice to attract health-focused shoppers. A new chicken roll, introduced in April, proved to be a standout commercial success, while the matcha iced latte emerged as a product capable of drawing younger customers. Chief executive Roisin Currie attributed the menu diversification to "broadening and innovating our menu in line with changing tastes and trends," while also noting that the company improved nutritional labeling transparency on its products.

The company credited its summer product refresh to observed shifts in consumer behavior during periods of hot weather, following a difficult period last year when customers reduced purchases of warm pastries such as steak bakes and vegan sausage rolls. The introduction of cooler, fresher options and protein-heavy alternatives helped Greggs reverse that decline and capitalize on seasonal demand patterns.

Pricing and Cost Management

Greggs confirmed no further price increases are planned for the remainder of the year after raising prices on breakfast, lunch, and "big" deals in May, following multiple hikes throughout 2025. Currie stated the company is "working hard to protect the consumer and making sure that we can offer that value throughout the rest of the year." The company hedged 90% of its energy costs for the current year and half of next year's costs, protecting it from oil price volatility, while commodity prices for cocoa and coffee have retreated from earlier peak inflation levels.