The latest trading update from Greggs (GRG) saw the shares sink to a 52-week low.

Greggs said seasonal lines like its Festive Bake, the all-new Festive flatbread and Gingerbread latte were in high demand, while it opened a record 226 new shops in 2024.

So, what went wrong for the UK’s favourite food-on-the-go purveyor?

Despite solid sales, which hit the historic milestone of £2 billion for the first time last year, Greggs’ chief executive Roisin Currie warned of lower consumer confidence which ‘continues to impact high street footfall and expenditure’.

Greggs also hiked prices last year, with its sausage roll costing hungry diners 30p or 30% more than it did in 2022.

These concerns and possible increased employment costs in 2025 post the Autumn Budget have clearly unnerved investors, although the bakery chain remains confident it can mitigate any future cost inflation.

This optimism is shared by Quilter Cheviot’s consumer discretionary analyst Mamta Valechha, who believes despite hiking prices the company has maintained its market share and protected its value proposition.

‹ Previous2025-01-16Next ›