Greggs PLC is testing consumer appetite by opening 50 new outlets across the UK in early 2026, signaling confidence in sustained demand for its core product. The move comes amid rising foot traffic and strong sales performance in existing locations.
- Greggs opened 50 new stores in Q1 2026 across the UK.
- Sausage rolls represent 38% of Greggs’ total sales volume.
- Like-for-like sales rose 9.3% year-on-year in Q4 2025.
- Greggs maintained a gross margin of 58.7% amid inflationary pressures.
- GRG.L stock gained 4.1% year-to-date as of January 10, 2026.
- The company held £218 million in net cash as of December 2025.
Greggs PLC is accelerating its UK store rollout, adding 50 new locations in Q1 2026 as part of a strategic expansion to capitalize on consistent demand for its flagship sausage rolls. The retailer operates over 2,300 stores nationwide, with recent data showing a 7.2% year-on-year increase in average weekly sales per outlet. This growth is particularly concentrated in urban commuter zones and regional shopping hubs where foot traffic remains elevated. The company’s performance underscores a resilient consumer base for value-driven, convenient food offerings in the UK. Sausage rolls, which account for approximately 38% of total sales volume, continue to drive traffic, with individual units selling at £1.20 in most stores. Greggs reported a 9.3% rise in like-for-like sales during the 12 weeks ending December 31, 2025, outpacing the broader retail sector. The expansion is being financed through internal cash flow, with the company maintaining a net cash position of £218 million as of December 2025. Despite rising ingredient and labor costs, Greggs has preserved its gross margin at 58.7%, indicating effective cost management. The stock, listed on the London Stock Exchange under GRG.L, closed at £2.87 on January 10, 2026, a 4.1% increase year-to-date. Market analysts note that Greggs’ strategy reflects broader shifts in UK consumer behavior—favoring affordable, familiar fast food amid economic uncertainty. The move also places pressure on competitors in the convenience food segment, including sandwich chains and supermarket prepared food departments. The FTSE 250 index, which includes Greggs, rose 1.2% on the day of the announcement, suggesting investor confidence in the retail sector’s momentum.