Greggs shares dive after demand slows during second half of 2024

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However, Greggs has subsequently had to raise prices on some products by between 5p and 10p, such as its flagship sausage rolls, which now cost customers £1.30.

The company opened a record 226 new outlets in 2024, taking its total estate to 2,618 establishments as of 28 December. 

Greggs noted pizza boxes and pizza bundle deals experienced greater sales, while its festive bakes and new festive flatbread were popular over Christmas.

Decline: Greggs shares plummeted on Thursday despite the sausage roll maker reporting its sales surpassed £2billion last year

However, the Newcastle-based firm’s strong first-half performance helped its annual turnover exceed £2billion for the first time.

Employers’ national insurance contributions will go up to 15 per cent on staff salaries exceeding £5,000 from April, compared to the current 13.8 per cent rate on wages above £9,100.

Consequently, like-for-like sales in its company-managed stores rose by only 2.5 per cent in the fourth quarter, half the rise of the prior three months.

Roisin Currie said that around two-thirds of Greggs staff have enjoyed a 6 per cent salary hike at the beginning of 2025. 

Russ Mould, investment director at AJ Bell, remarked: ‘Some people will stomach the higher price, but others will buy less often or not at all, which means Greggs needs to come up with a new game plan.

Greggs shares plummeted on Thursday despite the sausage roll maker reporting its sales surpassed £2billion last year.

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