Financial Statement Analysis of Costa Coffee and Cafe Nero - Case Study Example

The paper "Financial Statement Analysis of Costa Coffee and Cafe Nero" is a perfect example of a case study on finance and accounting. Costa Coffee is one of the famous British multinational coffeehouses. Bruno and Sergio Costa initially established the company in 1917, as a wholesale retailer of roasted coffee and a special Italian coffee shop. The company was acquired by Whitbread PLC in 1995 and has significantly expanded its operations in more than thirty countries around the world. Costa Coffee has more than 2,861 stores around the world (Annual Report: Costa Coffee, 2014). The company is expanding its business operation and on average 50 outlets of the company is established every year. The company is headquartered in Dunstable, Bedfordshire, and is expanding its operations in the Middle East. The majority of the revenues of the company are generated from its operations in United Kingdom (Annual Report: Costa Coffee, 2014).

The company also has a franchise system that is rapidly expanding in other regions of the world. Currently, the company operates with more than 60 outlets of Costa Coffee with the franchise partner in the Middle East that is now growing in India. Costa Coffee is now expanding its local and international-based partnership with the leading corporations to cater to the needs of global customers. Hence, the company has also signed a partnership with the London-based Chelsea Catering to serve the world’s leading airline company British Airways (Annual Report: Costa Coffee, 2014).

Café Nero

Café Nero is a famous European Style Coffee shop chain, founded in 1990 by Ian Sep. The company was then sold to BancBoston in 1997 as a consortium against the investment of funds. In March 2001, the Café Nero was listed for the first time on the London Stock Exchange under the symbol of CFN (Annual Report: Cafe Nero, 2014). Currently, the company operates more than 600 coffee shops around the world. The majority of the operations of the company are in the United Kingdom that is now rapidly expanding to Cyprus, Poland, Turkey, Ireland, United States, and Middle East (Annual Report: Cafe Nero, 2014).