Whitbread share price rises as Costa Coffee injects caffeine into sales
Shares in leisure giant Whitbread opened 1.6 per cent higher, after it posted a trading statement showing Costa Coffee delivered like-for-like sales of 5.8 per cent in the 24 weeks to 14 August, helping to make up for more sluggish growth of 3.1 per cent in its restaurants.
Costa enjoyed growth in worldwide sales of 15.3 per cent to £602.4m. Within the franchise system, sales grew by 14.2 per cent to £236.7m.
Total sales climbed 12.7 per cent. The company said it had benefited from a buoyant hotel market, which was helped by events such as the Commonwealth Games and the Farnborough Airshow.
"Whitbread remains on track for another good year," said Whitbread chief executive Andy Harrison.
Whitbread plans to open around 4,500 new Premier Inn rooms and five joint site restaurants along with around 300 net new Costa stores this year. 758 UK rooms have already been opened in the year to date.