MISSISSAUGA, Ont. — Second Cup ended last year with its first profitable quarter since 2012.
The chain of coffee shops had $94,000 of net income in the three months ended Dec. 26, or one cent per share, compared with a loss of $469,000 or four cents per share in the fourth quarter a year earlier.
Same-store sales for locations open at least a year were up two per cent — the first time Second Cup has had positive same-store sales in 14 quarters going back to early 2013.
Second Cup (TSX:SCU) has been working to revitalize its brand and franchise network amid stiff competition from other coffee companies including Starbucks and restaurant chains including Tim Hortons and McDonald's.
The company's full-year loss was reduced to $1.153 million or nine cents per share, an improvement from the $27 million loss or $2.66 per share in 2014.
System-wide sales by the cafes fell to $46.9 million in the fourth quarter, from $49.4 million a year earlier when Second Cup had 37 more locations in its network.
Revenue for the quarter rose to $9.6 million from $8.4 million.
At the end of 2015, Second Cup had 310 cafes, including 32 owned by the parent company.
The Canadian Press