Parent company Aegis Brands has credited Bridgehead Coffee’s focus on ethical and sustainable business practices for driving second quarter sales
Bridgehead Coffee was the first coffee chain in Canada to serve Fairtrade coffee | Photo credit: Bridgehead Coffee
Aegis Brands has said Bridgehead Coffee’s ethical and sustainable business practices are ‘overwhelmingly valued’ by consumers after posting strong second-quarter sales for the coffee chain.
The Toronto-based food and beverage retailer, which acquired Bridgehead Coffee for CA$9.5m ($7m) in January 2020, reported 26% revenue growth for the coffee in the three months ended 25 June 2023 to reach CA$4.1m ($3.1m).
Sales from Bridgehead Coffee’s 21 outlets grew 29% year-on-year to CA$3.6m ($2.7m), with one new store opened during the period at Ottawa Airport.
Additionally, the coffee chain’s wholesale revenues increased 12% to CA$309,000 ($234,000). Bridgehead Coffee currently sells its packaged wholebean coffee and coffee pods across Canadian grocery and supermarket chains Costco Wholesale, Whole Foods Market, Farm Boy, Longo’s and Sobeys.
Bridgehead Coffee promotes that it was the first coffee chain in Canada to serve Fairtrade coffee. The business also operates an intensive in-store waste streaming programme and has invested in reusable shipping containers to transport coffee and other café supplies.
“There are few brands with the heritage and quality of Bridgehead. Today’s consumer overwhelmingly values ethical and sustainable business practices, and factors them into purchase decisions. As other companies scramble to change their practices to meet customer expectations, Bridgehead is already there - and has been, for decades,” said Steven Pelton, CEO, Aegis Brands.
Bridgehead contributed 46% of Aegis Brands’ total second quarter revenues, with the group’s other brand, St. Louis Bar and Grill, achieving CA$4.8m ($3.6m) in sales.
In April 2021 Aegis Brands sold Canadian specialty coffee chain Second Cup to restaurant franchiser Foodtastic Inc. for C$14m (US$11m). The food and beverage retailer is seeking ‘accretive and opportunistic’ acquisitions to add to its portfolio.