Whitbread is looking to double its store count to 2,000 worldwide.

Whitbread has revealed plans to double its Costa coffee chain to 2,000 stores and expand its Premier Inn brand by 50% over the next five years.

The forecast comes as the company announced full-year profits before tax of £210.3 million – up 26.3%. Like-for-like sales for the period ending 28 February 2008 rose 5.7%.

Highlights included a record year for Premier Inn – with a room increase of 3,400 and 15.1% sales lift; whilst Costa sales rose 23.5% with total worldwide outlets hitting 1,000 in March 2008.

The year also saw the Group engage in a major restructuring which included the sale of David Lloyd Leisure for £925m and TGI Friday’s for £70m. 

Whitbread said it has saved £25m per annum through simplifying its management structure and outsourcing logistics. In addition, £338m has also been returned through share buybacks.

Alan Parker, Chief Executive Whitbread PLC, commented on the results: “2007/8 was a year of excellent progress with good results across the Company. Whitbread is now a more resilient business with strong growth prospects in the UK and overseas. In anticipation of a more challenging environment, action has been taken to simplify processes and reduce costs.

“Since the start of the new financial year, two months ago, trading has been encouraging. We have researched the opportunities for disciplined growth across the Group and have established two longer-term ambitions - in the next five years to increase the size of Premier Inn by 50% to 55,000 rooms and to double Costa to 2,000 stores. Whitbread is well placed for the future.”

By Natasha Piscitelli