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Investing.com -- Greggs (LON:GRG) shares fell more than 4% on Tuesday after the U.K. food retailer posted first-half like-for-like sales growth of 2.6%, in line with prior guidance but without any change to its full-year profit outlook.
The British bakery chain said sales were affected by weaker market footfall and weather disruption compared with the same period last year.
The first-half performance followed a warning issued in early July, when the company flagged lower profits for fiscal year 2025.
Greggs maintained its full-year pretax profit forecast of £175 million, consistent with guidance provided earlier this month.
The company also reaffirmed its plans to open between 140 and 150 net new shops this year. It continues to target a long-term expansion to more than 3,000 locations.
Sales during the evening trading period increased to 9.3% of total revenue, up from 8.4% a year earlier.
App usage rose to 26% of transactions, compared with 18% previously, the company said.
Greggs reported progress on its new distribution center but did not provide detailed updates on its timeline or capacity.
“We continue to believe the underlying business is fundamentally strong, and maintain our expectation of an acceleration in LFLs in H2. With the shares -40% YTD, we see this as an attractive entry point,” said analysts at Jefferies in a note.