Costa UK coffee sales fall by 2%, says owner Whitbread
Costa has blamed a lack of shoppers on the High Street for a fall in like-for-like sales at the start of the year.
The nation’s biggest coffee chain reported a 2% fall in like-for-like sales in the first three months of the year.
However, total UK sales growth were up by 5.2% thanks to new store openings, said Costa parent Whitbread.
Whitbread said early steps had been taken to demerge Costa from the group, a move announced in April.
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‘Footfall weakness’
“Our stores remain highly profitable and deliver an excellent return on capital,” said Whitbread boss Alison Brittain.
The firm added: “The UK like-for-like sales decline resulted principally from footfall weakness in traditional shopping locations, whereas travel locations continued to show good growth.”
UK High Streets have been struggling in recent months with big names closing stores and restaurants and some retailers shutting down altogether.
Marks & Spencer, House of Fraser, Mothercare, New Look, Byron, Jamie’s Italian, and Prezzo are all closing outlets.
Click here to read more (Source: BBC News)