The Krispy Kreme outlet in Blanchardstown recorded average weekly revenues of almost €87,000 last year, despite the store being temporarily shut down by the Covid-19 pandemic.
That is according to new accounts for Krispy Kreme Ireland Ltd, which show that the business continued to make strong profits in spite of the pandemic impacting operations for 10 months of the year under review.
The accounts for the record-breaking doughnut selling store show that pre-tax profits declined by 31.5 per cent to €1.247 million for the 53 weeks to the end of January 3rd this year.
The drop in pre-tax profits followed revenues decreasing by 30 per cent from €6.59 million to €4.6 million or an average weekly revenue of €86,924 across the 53 weeks.
The Blanchardstown store shut down between March and May last year in line with Government restrictions aimed at halting the spread of Covid-19 and the company received €121,000 in Temporary Wage Subsidy Scheme (TWSS) payments.
Dame Street store
According to the directors, the business was able to re-open in May 2020 and despite being impacted by the pandemic during the year the business “has remained profitable in 2020 and is able to look forward to a future of investment and growth”.
The company currently has a planning application before Dublin City Council for signage concerning an outlet at Central Plaza on Dublin's Dame Street for opening “circa Christmas 2021 subject to planning permission being granted”.
The company is also planning to open a store this winter at the Swords Pavilion Shopping Centre in north Dublin.
Last year, the company paid out a dividend of €1.66 million.
The directors state that the business “began 2020 from a sound base of growing revenue, strong profitability and high levels of cash generation”.
Consumer mania
The opening of the Blanchardstown store on September 26th 2018 was greeted by a consumer mania not seen in Ireland in recent years.
There was a queue of 300 people when the store opened its doors at 7am on its first day of operation, and thousands of customers streamed through its doors during the first day to make the opening the biggest store opening for Krispy Kreme across the world at the time.
During the height of the craze for the likes of the Original Glazed doughnut, residents posted footage on social media of cars beeping their horns while motorists waited for service in the middle of the night.
The directors state that the business makes freshly made doughnuts every day with quality ingredients, utilising a secret recipe.
The company recorded a post-tax profit of €1.07 million last year after paying corporation tax of €175,000.
The company’s earnings before interest, depreciation, tax and amortisation (EBITDA) last year totalled €1.76 million compared to €2.39 million in 2019.
Numbers employed in sales and manufacturing last year declined from 85 to 55. On January 3rd last, the company’s accumulated profits stood at €1.44 million while its cash funds amounted to €817,000.
