Caffe Nero brews up healthy profits

Coffee house chain Caffe Nero today reported a sharp jump in profitability after its expansion plans continued at a steady pace.

The London-based firm said profits before tax jumped to £3.5m (€5.1m) in the six months to November 30, up from £700,000 (€1m) during the same period in 2004.

During the time it opened 30 new stores, mostly outside the capital. It currently has 250, placing it ahead of schedule to reach its target of 255 stores by May.