Caribou Coffee returns to profitability in Q1
May 08, 2009
by Eric Schroeder
MINNEAPOLIS — Caribou Coffee Company, Inc., the second-largest U.S.-based company-owned gourmet coffeehouse, posted net income of $346,000 in the first quarter ended March 29, equal to 2c per share on the common stock. This compared with a loss of $6,406,000 in the same period a year earlier.
Net sales, meanwhile, fell 2% to $60,380,000. Caribou Coffee said the decline in sales reflects the closing of several coffeehouses during the quarter. Coffeehouse sales during the quarter fell 7% to $52,864,000, while commercial sales rose 46% to $7,516,000.
"I am pleased with the progress we continue to make in improving profitability," said Michael Tattersfield, president and chief executive officer. "We have communicated that the turnaround will be a multi-year effort, and although we are operating in a challenging environment, we are continuing to see progress. We are accomplishing this by focusing on key strategic initiatives; improving our guest experience, strengthening our brands and focusing on the expansion of our franchise and commercial channels."