A tough year for city bars knocks back Corney & Barrow profits
The Corney & Barrow Group has announced a fall in annual pre-tax profits to £3.3m for its wine merchant and bar business.
The figure for the year to 30 April 2012, compares with pre-tax profits of £4m during the previous year. However, group turnover was up from £68.4m to £72.6m.
While turnover for the wine merchant element of the business remained buoyant, increasing to £55.7m from £51.7m during the previous year and £34.7m in the year to 30 April 2010, the bars experienced a challenging time with pre-tax losses of £1.1m, compared with pre-tax profits of £400,000 during the preceding year. Turnover for the bars marginally improved from £16.7m to £16.9m.
The bars saw some improvement during the second half of the year, but the company was unable to make up for the disappointing first quarter.
Despite working hard at controlling its costs, the business suffered from increases in national minimum wage, rates, service charges, utilities and licensing costs.
Corney & Barrow currently operate 11 bars in the City of London, one Cabin outlet at Waterloo and a restaurant at Devonshire Terrace. The group is currently in the process of rebranding its bars with a new look, new menus and new C&B name. The C&B concept has so far been introduced at Mason's Avenue and Pasternoster Square, with plans to re-brand the remaining bars in the pipeline.
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Corney & Barrow see profits rise despite weak wine bar performance >>
By Janet Harmer
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