Cooks Coffee Company has reported interim results for the six months ended 30 September 2023, with store sales in the UK increasing 22% on the prior year to NZ$17.8m (£8.65m).
Sales increased 58% compared to 2019, attributed to development in suburban areas and smaller market towns gaining further momentum.
The Esquires operator, which has 68 sites in the UK and Ireland, further reported profit at NZ$0.8m (£0.4m), up 40% on H1 FY23.
Cooks Coffee opened seven outlets during the period and has eight openings planned for the UK in the second half of the year, with the estate expected to total c80 sites in the UK and Ireland by the end of March 2024.
Its pipeline of store openings remains robust and underpinned by strong consumer demand, according to the update.
New openings have focused on suburban areas and market towns, where the ongoing impact of post-Covid changes in consumer behaviour have led to positive performance.
The company has entered into an agreement to established a ‘regional developer’ in the UK for the Southwest, South Wales, and West Midlands, focusing on store growth and building on the success of the model in the Southeast, London, East England, and East Midlands regions.
Discussions are underway to secure agreements for remaining regions, with the company confident of securing suitable partners before the end of the financial year.
Last month, Cooks Coffee appointed RSM UK Restructuring Advisory LLP to its 11-strong Triple Two coffee franchise business. The growth potential could not be maintained and Triple Two was unable to recover from store closures and a changed market dynamic post-pandemic.
The Esquires business is not affected.
The company is continuing its planned transition to relocate the business to the UK, where most of its business operates, enabling it to focus on its growth strategy in the UK and Ireland.
