MISSISSAUGA, Ont. – The Second Cup Ltd. (TSX:SCU) reported lower first-quarter profits as the coffee and snacks chain saw same store sales contract 3.3 per cent.
The company reported Thursday after markets closed that it earned $688,000 or seven cents per share for the 13 weeks ended March 30.
That was down from just over $1 million or 10 cents per share in the comparable 2012 period.
Revenues eased to $46.9 million from $47.1 million despite a net increase in the number of cafes to 361 from 355.
“The quarterly results reflect the planned investment in new initiatives combined with intense competitive activity in the coffee category,” president and CEO Stacey Mowbray said.
“The investment in new initiatives include a loyalty program, which will go into test in May, a new cafe design with the prototype opening in the summer and the reinforcement of our gold standard coffee credentials.”