Starbucks losses down as turnover rises 4.7pc
Published 11/08/2010 | 05:00
US coffee chain Starbucks narrowed its losses in Ireland to €1.6m in the 12 months to the end of September 2009 from €5.5m in the previous financial year, as turnover at the chain's operations here rose 4.7pc to €18.1m.
In accounts just filed for the Irish unit at the Companies Office, Starbucks, which opened its first store in Ireland in 2005, noted that the reported financial period included a "challenging recession.
"In response to these trading conditions, management undertook rigorous action to introduce new initiatives to improve the overall health of the business, to improve the customer experience and to provide customers with greater value for money."
Last year Starbucks also undertook a review of its 29 Irish stores, and put seven underperforming outlets on a list for possible closure. That list included one store in Dalkey, another in Tallaght and one in Blanchardstown.
It later confirmed the closures of those sites, as well as one in Ranelagh and closed concessions that were located in two Hughes & Hughes book stores, in Swords and Dundrum.
The coffee firm had signed up for a number of very long leases during the boom that were increasingly onerous as the downturn took hold.
The company had a shareholders' deficit of €8.7m at the end of last September.