New good price from Timmy! price, Timmy, New, good

Catpiano

Good news from Don!

http://ca.news.finance.yahoo.com ... eady-good-crop.html

godavid

Tim Hortons coffee prices could hold steady on good crop, says CEO
Thu May 13, 5:08 PM
David Friend, The Canadian Press
Email StoryIM StoryPrintable View.By David Friend, The Canadian Press

TORONTO - Tim Hortons Inc. (TSX: THI.TO) chief executive Don Schroeder is optimistic that a good year for Columbian coffee crops could mean the price of your morning cup of joe will hold steady for the foreseeable future.

While the head of Canada's iconic coffee and doughnut chain didn't make any promises about holding back from price increases, he did provide a glimpse of a brighter future for coffee lovers who were burned last year when a smaller crop and bad weather helped raise the price of a cup of coffee.

"We see this year there should be some relief by the time we get into the third and certainly the fourth quarter of this year," Schroeder said in an interview Thursday.

"Brazil has just started harvesting what is likely to be a record size crop. As that starts to hit the market, it's going to ease the pressure... on the overall price of coffee."

He added: "Our hope is that the price of coffee to our store owners will be able to keep stable."

Schroeder noted that other factors also influence the price of a cup of coffee, such as operating costs at its franchised locations. However, he noted, the industry has reached a calmer period compared with a year ago when the economy was particularly shaky.

"Last year, because there was so much uncertainty, we were reviewing the (pricing) situation almost on a monthly basis," he said.

"Normally we would do it once a year. Last year we were looking at it on a regular basis just to keep up with the changes that were happening out there. The hope is that we won't have to look at it again until later this year."

The outlook came as Tim Hortons served up a $78.9-million first-quarter profit for its investors in the first three months of this year — up 18.7 per cent from last year from $66.4 million. On a per-share basis, diluted earnings rose to 45 cents from 37 cents.

The company said its revenue was up 4.8 per cent, rising to $582.6 million including franchise fees, rents and royalties.

Schroeder told investors in a conference call that new products on its menu and stronger promotions contributed to the higher results.

Same-store sales growth, sales at locations that have been open for at least a year, were up 5.2 per cent for the quarter in Canada, which he said was the best quarterly growth in the country since the second quarter of 2008.

In the U.S., same store sales were up three per cent.

"We do see continued bumps in the overall economy in front of the industry as the rest of the year unfolds," Schroeder said.

"I believe we have the products, the marketing and the operational programs and we have the operational focus that will continue to deliver success for us in 2010."

Tim Hortons also announced that it will roll out a new distribution centre in Kingston, Ont., to supply about 650 restaurants in Ontario and Quebec. The centre will cost about $45 million by the time its operational in the second half of 2011.

The company delivered its results a day ahead of its annual meeting in Toronto. Tim Hortons shares ended the day $1.13 higher to $35.48 on the Toronto Stock Exchange

Catpiano

another copy and paste.
mukmuk2 發表於 2010-5-14 18:56

    Yeah .. again, I don't get it ...