Caffè Nero has reported strong first quarter sales between 1 June and 31 August 2023, driving a positive start to its financial year.
The coffeehouse chain reported its UK Q1 sales were 13.5% higher year-on-year, while sales growth at group level was 19% year-on-year.
Caffè Nero opened 18 new stores across its 10 territories during Q1, including nine new stores in the UK and Ireland.
The Nero Group also continued its store refurbishment programme, with over 20 UK stores refurbished in Q1.
A further 100 stores are scheduled for refurbishment during the remainder of the financial year as part of the group’s continual upgrade of its estate.
The business further reported success with its mobile app, with over 2 million users and 32% of all UK store transactions now coming in via the app. A single app can be used across territories and is accepted in Caffè Nero stores across the world.
Between June and the end of August, the chain also continued expansion of its delivery sales in the UK, with delivery sales now accounting for almost 3% of all sales.
Caffè Nero founder and group CEO Gerry Ford commented: “Results in our First Quarter were very encouraging across the Group and enabled our financial year to get off to a strong start. Despite problematic weather in the UK last summer, our summer iced drinks campaign there was very successful, with our ‘coffee over ice’ range performing particularly strongly at 17.4% like for like sales. New drinks in our Frappe Crème range (including the Tropical Fro-Yo) meant the category achieved 5.4% like for like sales. We also saw very strong growth in our sliced cake range, which was in 20% growth year on year. Despite continuing inflation, I’m optimistic that we can have a good Second Quarter. I know our new store openings pipeline is very strong.”
