Corney & Barrow Bars plunges into the red
Second Balthazar bakery planned
Corney & Barrow Bars plunges into the red as like-for-likes sales drop 11%: London operator Corney & Barrow Bars has reported a pre-tax loss of £1,057,483 in the year to 30 April 2012 compared to a pre-tax profit of £445,564 the year before – like-for-like sales dropped by 11% (although they are budgeted to recover this year). Turnover rose to £16,923,311 from £16,722,815 the year before. The turnover rise of 1% was due to the introduction of service charges and the net effect of new bar openings. Gross profit margin improved from 72.7% to 73.9% thanks to a “combination of effect supplier negotiations, stock control and pricing policies”. The company said: “The company continued to experience very challenging trading conditions. Whilst there was some positive signs of recovery during the second half of the year, the company was unable to make up the lost ground suffered during a very disappointing first quarter. Overall gross profit margin was marginally higher than in the previous year. The company has remained rigorous in the management of its controllable costs but was again required to absorb additional costs arising from increases in the national minimum wage, rates, service charges, utilities, licensing and various external compliance costs. All banking covenants were satisfied. The impact of depressed consumer spending, a wet summer and deepening economic uncertainty has continued to adversely affect performance since the year-end.”
Second Balthazar bakery planned in Waterloo: A second Balthazar bakery is planned for Waterloo after the first one opens on 6 February next to the Balthazar restaurant in Covent Garden due to open on 12 February. The Balthazar opening, the London outpost of the New York site run by Keith McNally and opening in partnership with Richard Caring, is one of this year’s most eagerly awaited restaurants. The main boulangerie, next to the restaurant in Covent Garden, will sell bread, pastries and Viennoiseries - prepared by head pastry chef Regis Beauregard who was formerly pastry chef at The Ritz - as well as sandwiches, salads, chocolate and cookies on a take-away basis only. A Balthazar wholesale bakery is also planned in Waterloo. This has been set up to supply Balthazar and other restaurants - but there are plans to open it to the public. The site will eventually be selling bread and Viennoiseries, with trestle tables and bench style seating in the arches for customers.