Costa Limited Returns to Profit With £20 Million Operating Gain
Costa Limited returned to profitability in 2025 following a strategic menu revamp and high street outlet expansion.
Costa Limited, the primary coffee shop arm of Costa Group, reported an operating profit of £20 million for the year ending December 31, 2025. This financial recovery follows two years of losses and comes after the parent company, The Coca-Cola Company, abandoned plans to sell the chain in February 2026.
The turnaround resulted from a strategic revamp of high street outlets and a menu expansion designed to attract younger consumers, adding items such as matcha, iced drinks, and fresher pastries. Global sales for Costa Group rose 3.5% to £1.74 billion, while global operating profit increased 30% to £101 million.
Costa is currently expanding its United Kingdom footprint with plans to open 50 new outlets this year and a new headquarters in St Albans. Chief Executive Philippe Schaillee stated that while growth is strong, the company must remain prepared for high coffee production costs that could be exacerbated by the El Niño climate phenomenon.