Greggs has reported that the hot weather in the UK has impacted its sales and profit levels in Q2, as higher temperatures impacted its consumer buying activity.

The bakery chain was publishing its H1 results covering the 26-week period to 28 June and revealed that the company’s full-year operating profit could come in “modestly below” that achieved in 2024.

Greggs did post a 2.6% jump in like-for-like (LFL) sales for the H1 period, citing “good progress” in May, before the hot weather in June slowed sales growth. The company observed increased demand for cold drinks but reported a reduction in its overall footfall.

Total sales for the group’s H1 period were still up by 6.9% to £1.03bn, up from £961m in H1 last year.

AJ Bell investment analyst, Dan Coatsworth, commented: “During a period of hot weather, one would expect the product sales mix to change, with fewer hot pastry-based products and greater demand for salads and cold drinks.

“Overall, Greggs should have still benefited from the sunshine. It begs the question of whether Greggs is simply using the weather as a reason to mask bigger problems.”

Greggs did also report that it now has 2,649 shops currently trading, following 87 new shop openings in H1.

The bakery chain has recorded 31 net openings in the year so far and indicated it was still on track to deliver 140 to 150 net openings for the full year.

“Even though Greggs continues to open new stores and talk up opportunities, on a LFL sales basis it is having to work extra hard to make progress,” added Coatsworth.

“The shares have been weak since last September as investors ask if we’ve reached peak sausage rolls territory and the latest trading update is only going to add to market fears.”

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