Java Republic Records Decrease In Turnover For 2020
Java Republic has recorded a decrease in turnover for 2020.
According to The Business Post, the rise of mobile cafés during the COVID-19 pandemic last year caused the Irish coffee brand's sales to decrease.
Java Republic Financial Year 2020
Turnover at the firm reportedly fell by more than €7 million for the year ended December 31, 2020 - reportedly down from €14.6 million to €7.2 million, according to its latest accounts.
Profit for the year reportedly came in at just €299, down from €261,683 in 2019, financial statements lodged with the Companies Registration Office reportedly showed. Before tax, the business reportedly reported profits of €28,153.
Java Republic reportedly said in a note accompanying the accounts that "mobile coffee units" were a competition risk that threatened to undermine its market share. It reportedly also listed franchised coffee shops and multinational chains as rivals that could impact its business.
The company reportedly said that sales had been "impacted by the COVID-19 pandemic from March 2020".
"Turnover has decreased by 50% on prior period," the company's directors reportedly wrote, but reportedly added that that they were "satisfied that the group and company is in a strong position to respond to these challenges".
The accounts reportedly said, "The directors believe the group and company has sufficient resources available to ensure its ability to continue as a going concern."
Founded in 1998, Java Republic reportedly brought the world's first carbon neutral roastery to Ireland to supply coffee to more than 1,200 offices, hotel groups, cafes and corporate catering services.
In October 2020, it announced the acquisition of the Island Beverage Company, the Co. Cork firm that reportedly is its exclusive distributor in the south-west of the company. All employees at the 17-year old company reportedly joined Java's staff count as part of the deal.
Grace O'Shaughnessy, Java's managing director, reportedly said at the time, "In acquiring The Island Beverage Company, we will strengthen our relationship with our customers in the south west, ensuring we can continue to deliver the same excellent service and support."
Java's accounts reportedly show THAT it employed 74 people across the group in 2020, reportedly down from 76 the previous year. It reportedly paid an average wage of €31,799.
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