Advertisement

O.C. BUSINESS PLUS | ORANGE COUNTY EARNINGS

Diedrich Blames Deeper Losses on Slow Sales, Rising Expenses

November 04, 2000

Irvine specialty coffee retailer Diedrich Coffee Inc. posted wider losses for the fiscal first quarter.

The company reported a net loss of $1.1 million, or 9 cents a share, for the three months ended Sept. 20, compared with a net loss of $389,491, or 3 cents a share, a year earlier. Revenue increased 4% to $16.9 million.

Diedrich attributed the larger loss to a variety of factors, including lower sales at stores open at least a year and higher prices for green coffee used in coffee blends. Store operating expenses also rose, primarily from increased benefits for employees at company-owned stores.

Same-store sales declined 0.2% at Diedrich Coffee coffeehouses, 7.1% at Coffee People coffeehouses, and 10.2% at Coffee Plantation stores, Diedrich said.

The stock, which has lost more than 70% of its value this year, closed Friday at $1.19, down 6 cents a share, in Nasdaq trading.

Advertisement
Los Angeles Times Articles
|
|
|