Udayavni Special

Cafe Coffee Day shuts 280 more outlets in Apr-June qtr


PTI, Jul 20, 2020, 1:46 PM IST

New Delhi: Homegrown coffee chain Cafe Coffee Day (CCD)has closed down around 280 outlets in the first quarter of the current fiscal year, citing profitability issues and likely future increase in expenses, a company statement said.

With these closures, the total count of its outlets stood at 1,480 as on June 30, 2020.

Cafe Coffee Day is a brand owned by Coffee Day Global, a step-down company of Coffee Day Enterprises Ltd (CDEL).

The coffee chain also reported a decline in average sales per day (ASPD) to 15,445 during the April-June quarter from 15,739 in the corresponding period of the last fiscal.

However, the count of its vending machines went up to 59,115 units in Q1 FY20 from 49,397 in the same quarter a year ago.

“Exports operations have been temporarily stopped due to lower margins and higher working capital requirement and around 280 outlets are closed during the quarter based on various factors including the profitability, future increase in major expenses,” the company said.

It further said that the decision will result in continuing the remaining cafes profitable and adding value to the company as a whole to continue as going concerns.”

CDEL has been paring its debt through the sale of non-core assets after the death of its promoter V G Siddhartha.

Earlier, in March this year CDEL had announced to repay Rs 1,644 crore to its 13 lenders after concluding a deal with Blackstone Group to sell its technology business park

CDEL in September last year had announced the sale of its Global Village Tech Park in Bengaluru to global investment firm Blackstone and realty firm Salarpuria Sattva at an enterprising value of Rs 2,700 crore.

It has also sold CDEL’s stake in IT firm Mindtree to L&T Infotech.

Udayavani is now on Telegram. Click here to join our channel and stay updated with the latest news.

Top News

Raj Bhavan Chalo: Farmers in Karnataka take out procession against farm laws

Rahane masterclass puts heat on Kohli’s Test captaincy

Union ministers start 10th round of talks with protesting farmer unions

Give option to choose vaccine: Karnataka resident doctors to centre

You are the authority: SC refuses to rule on R-Day tractor rally, allows Centre to withdraw plea

SC irked over aspersions cast on members of court-appointed committee on farm laws

Loss of smell may be best sign of COVID-19, research confirms


Related Articles More

Eateries demand to rationalise GST on food delivery biz to 5%

Budget 2021: PM Modi to chair all-party meeting on Jan 30

Karnataka govt revises range of property tax

Sensex rallies over 170 pts in early trade; Nifty tops 14,590

Centre mulls tweaking FDI norms in e-commerce sector

MUST WATCH

Ullal: Condom found in donation box

Karunakar Kotegar | How to teach forgiveness | Udayavani

Arnab-Gupta WhatsApp chat leak!! New story, much misery…

‘Act of revenge’: Attack on constable Ganesh Kamath was to avenge M’luru police firing

Udayavani Campaign: Identify parking areas to resolve public problems , says MLA Kamath

Latest Additions

Dynastic politics must be stopped, Yatnal’s new outrage against BSY

Raj Bhavan Chalo: Farmers in Karnataka take out procession against farm laws

Eateries demand to rationalise GST on food delivery biz to 5%

Rahane masterclass puts heat on Kohli’s Test captaincy

Union ministers start 10th round of talks with protesting farmer unions

Thanks for visiting Udayavani

You seem to have an Ad Blocker on.
To continue reading, please turn it off or whitelist Udayavani.