Starbucks to open 100 new stores as revenues increase 37%
Its profit before tax also fell to £10.4m from £13.3m and the company paid £4.6m in corporation tax, down from the £5.4m it paid last year
Starbucks has announced plans to open 100 new stores in the UK after its revenues increased 37% to £449m for the year ended 2 October 2022.
The company will invest £30m in the UK on a number of initiatives including opening new stores and renovating existing ones.
The move comes after there had been reports Starbucks were considering selling its UK business amid increased competition from the likes of Pret a Manger but it seems the company is committed to Britain for the foreseeable future.
The company also posted gross profits of £129.1m, up from £95.1m in FY21.
However, its operating profit fell to £12.6m, down from £16.5m, as a result of investments in staff pay, inflationary pressures and one-off benefits in FY21.
Its profit before tax also fell to £10.4m from £13.3m and the company paid £4.6m in corporation tax, down from the £5.4m it paid last year.
Duncan Moir, president Starbucks Europe, Middle East and Africa, said: “We have had a very strong year of revenue growth in the UK and EMEA and I’m pleased to report that we have exceeded our pre-pandemic revenue levels. This is all thanks to the hard work of our fantastic team of partners who are dedicated to delivering a positive experience for every customer.
“Innovation remains key to Starbucks ability to meet our customers’ changing needs and we’re investing in our digital channels and developing new store formats such as digitally-forward smaller stores and Drive Thrus.”
Moir added: “Whilst we are cautious about the macro-economic environment, we will continue to invest to grow the region this year. We plan to open over 100 new stores in the UK and 300 new stores in EMEA, to continue this growth momentum.”