Whittard sees grounds for expansion

WHITTARD of Chelsea sees scope to boost its UK chain of 109 tea and coffee shops to at least 150.

Chief executive Richard Rose, brought in two years ago to rescue the lossmaking group, today reported an emphatic recovery with first-half pre-tax profits up from £9000 to £514,000.

Underlying sales increased 5.8% and the growth rate picked up in the past eight weeks to 9.7%.

Rose said customers loved the 'classless' range of products, upmarket in appeal yet low-ticket enough to make affordable gifts.

Whittard opened a net five new shops in the year and reckons a chain of 150 is achievable in the short to medium term.

The shares, which have rocketed eightfold since early 2001, rose a further 7 1/2p to 174p today.