A busy day in the Warsaw Underground !

Not just another coffee shop chain - this one is a brand leader and is only trading in Eastern/Central Europe (i.e. the countries recently admitted to the EU destined for substantial business growth). The company is creating new outlets at a fair old pace and take a look at their website - these are quality stores in high-profile locations like major airports, railway stations etc. Website: http://www.coffeeheaven.eu.com

APRIL 2006 TRADING UPDATE!!! Total Gross Revenues for 12 months to 31st March up 66% to £6.3M (2005: £3.8M) Lots more info. on new markets and stores click here to read the full details. Stores: 43 (up from 32) stores currently trading (Poland: 30 (up from 23), Czech Republic: 6 (Up from 2), Latvia: 7 with a further 5 units under construction including Bulgaria and sites secured in Romania (subject contract). Bulgaria & Romania are seeking to join the EU from January 2007. Sites located in key high street, shopping malls or Airport locations. Company growth target: increase number of units by at least 20 units to some 63 units by 31 March 2007. Aim being to achieve this level of growth within present Cash resources.Cash balances at 31 March 2006 were approximately £2.9M (2005: £0.7M). Debt was nil (2005: £ 2.5M): Nil Debt! Positive EBITDA: For the year ending 31 March 2006, Group EBITDA expected to be firmly positive after charging UK and new market development costs but before exceptional costs relating to the cancellation of bonds (previous Debt). Forecasts: Based on present trading conditions and current exchange rates we anticipate indicative sales of £9.3M for the year to 31 March 2007. This includes indicative sales of £0.4M from Bulgaria, which will be reported but not consolidated. From Richard Worthington (Chairman and Chief Executive): ‘The new financial year has started well. There is no doubt that the significant economic improvement in our markets is feeding through to consumer confidence and spending. The strength of the coffeeheaven brand ensures we are ideally positioned to benefit from our customers' increasing prosperity.’

AdieH, the Alias has now lost its significance, as an old house name. We've not met but you never know ...... time will tell!

Are you not attending the AGM tomorrow?

Sadly, No as tied up elsewhere, so very grateful for any feedback you may have.

i.e. 2.71m to be invested? Risks & Issues? On Track or outperforming etc.

very many thanks. :-)

No problem, report to follow on Wednesday probably via email as don't want to really post all comments on here, will give brief overview on this board and ample. Regards.

Thanks AdieH. Much appreciated.

Very strong AGM statement issued by RW today.

Headline growth 61% H1

Like-for-like growth 28% H1

59 stores open

Year end target of 63 store likely

Total revenues for full year estimated at 9.8m (doubt if they will fall below, or hit this, ergo . . . !)

Maiden 1st half profit before tax, goodwill and FRS2 adjustments - EBIDTA of not less than 0.4m

Cash/equivalents at 30th September 2.4m.

Can't ask for much more - brilliant.

Nice One! :-) Interims out on 30 Nov 06

Adie H,
I've been following this thread for a long time now and as an investor for over a year. Would be grateful if you could include me in your e mail to Silvermede.
Many thanks.

PBen10

Likewise please Adie - Augustman

Hi there,
Having read through this thread, COH seems a lot more to grow, so is there any traget price before the interims out? Many thanks in advnace.
swseun

swseun:

Have a look at COH website, link above in header. Click on 'Latest News' and then 'Research Notes & Brokers', the 4 most recent notes are dated Aug & Sep 06.

Targets vary and this company may well get a re-rating after the interims.

Happy research!

thanks a lot silver.

If you let me know your emails will post my notes to you, just got back and all is positive, no earth breaking news but all in all very positive, more board members and PI's than last time...

AdieH, many thanks e-mail on its way to you.

Times today - Coffeeheaven International 'a stock to watch'

Independent - Buy Coffeeheaven

Haven't seen the articles myself - any comments folks - any other press following AGM - STOCK UP SLIGHTLY EARLY ON

AM

Augustman COH will work wonders over the next few months...

A very buoyant AGM statement and trading update came out last week. Moving the SP up apace.. I note that Seymour Pierce gives a Buy rating

Tony our 72 year old.. was in on our coffee meeting at shareclubuk this morning we were talking about Coffeeheaven (COH) Tony informed us that COH has opened a new coffee shop at Prague, Airport, it is situated next to arrivals in the new terminal 2 building both for those meeting visitors and for the visitors

Now Tony thinks that all the hype re Tescos and Coffeehaven could have come from the recent extension of the shopping centre Tesco - Letnany the largest shopping mall in the Czech Republic.. Coffeeheaven has a coffee shop there.. Tesco - Letnany is located in the center of Prague 9... COH is expanding at a steady rate.. There product is good.. COH is the number two share at the share-club showing over 50% profit

Taken from the COH website coffeeheaven is the right concept, in the right place, at the right time... and with the professional management to ensure success. Tony agrees

Interim headlines as posted at 7.oopm - market reacts with indifference??? - any comments regular COH posters



Coffeeheaven International PLC
30 November 2006


COFFEEHEAVEN INTERNATIONAL PLC

Interim Results for the Six Months Ended 30 September 2006

coffeeheaven international plc (the 'Company' or 'Group'), the operator of
branded coffee bars in central Europe, is pleased to present its interim results
for the six months ended 30 September 2006.

Highlights:

Results

Turnover up 61% to 4,412,000 (2005: 2,732,000).

Increase in like-for-like sales 28% for the six months to 30 September
2006.

59 stores currently trading (Poland: 39, Czech Republic: 9, Latvia: 8,
Bulgaria: 2, Slovakia: 1).

Cash inflows from store operations up 83% to 1,069,000 (2005: 582,000).

Group EBITDA up 555% to 426,000 (2005: 65,000) after charging all
corporate expenses and new market development and acquisition costs.

'Normalised Group Profit'* before taxation for the six months to 30
September 2006 140,000 (2005: 366,000 Loss).

Cash and cash equivalents 2.6 million at 30 September 2006.

Outlook

Trading in first two months of the second half-year remains strong.

Like-for-like sales to date (all markets) broadly at first half growth
rates.

Indicative full year revenues approximately 9.8 million.

Richard Worthington, Executive Chairman of the Group, commented:

'These results demonstrate the strong appeal of coffeeheaven with consumers and
that the Group's development strategy is capitalizing on the growing economies
of central Europe. With a presence in 5 central European markets and sector
leadership in the largest, coffeeheaven is now firmly established as one of
central Europe's leading branded coffee bar chains.'

For further information please contact:

Richard Worthington, Tel: +44 7973 442331
coffeeheaven international plc

Simon Turton Tel: 0845 0600650 or 07976 826004
Opera Public Relations

Sarah Wharry Tel: 020 7107 8000
Seymour Pierce Limited


Chairman's Statement

I am delighted to present the Interim Statement for coffeeheaven international
plc covering the 6-month trading period to 30 September 2006.

Overview

The period under review has seen strong revenue growth and a maiden Pre-tax
Profit.

Specific goals and milestones achieved during the period are as follows:

Historic revenue growth momentum maintained above 50%.

Exceptionally strong like-for-like sales growth achieved in all markets.

Robust growth in operating cash flows.

Maiden Group Profit before taxation.

Further new market expansion into Slovakia.

Summary of Group Financial Results

Overall the Group has performed ahead of your Board's expectations with
particularly strong results in Poland.

Group turnover for the period was 4,412,000 (unaudited) (2005: 2,732,000), an
increase of 61% over the prior year same period (59% at constant exchange rates)
. Turnover excludes sales from coffeeheaven stores in Bulgaria amounting to
74,000 in the period which have not been consolidated (2005: nil).

Normalized Group Pre-tax Profit was 140,000 (2005: 366,000 Loss). Normalized
Group Profit is defined as profit before goodwill, unrealized foreign exchange
losses/profits, and (in the current period only) bookkeeping adjustments for the
first time application of accounting standard FRS20. Notes to the Financial
Statements set out below provide further details.

The Normalised Group Pre-tax Profit is stated after charging UK corporate
administration expenses of 138,000 (2005: 109,000), acquisition and
development expenses of 35,000 (2005: 54,000), and international corporate
administration expenses of 89,000 (2005: 41,000). A full analysis of these
expenses is set out below in Notes to the Financial Statements.
Group EBITDA increased 555% to 426,000 (2005: 65,000) and is stated after
charging all corporate expenses and new market development and acquisition
costs. EBITDA is defined as earnings before interest, taxation, depreciation,
amortisation and FRS 20 adjustments and as such represents the operating cash
flows of the Group.

Total Group overhead costs (which includes overhead costs relating to all
operating companies combined with all UK and international corporate costs
including acquisition and development expenses) were 14% of sales (2005: 18%).
The absolute growth in all overhead expenditure at 26% was significantly lower
than the value growth rate of both sales and store margin.

Summary of Trading Company Financial Results

Combined Net Cash Inflows from store operations increased 84% (80% at constant
exchange rates) to 1,069,000 (unaudited) (2005: 582,000) representing 24% of
sales (2005: 21%). Combined trading company EBITDA increased 147% to 687,000
(2005: 278,000). Combined trading company Pre-tax profits before interest were
377,000 (2005: 23,000 loss).

The Pre-tax Profit on ordinary activities in the period at CHI Polska S.A.
('CHIP') (Poland) was 410,000 (unaudited) (2005: 28,000 loss). EBITDA was
positive at 634,000 (2005: 312,000).
The Pre-tax Loss on ordinary activities in the period at CHI Czech s.r.o.
('CHIC') (Czech Republic) was 24,000 (2005: 126,000 loss). EBITDA was positive
at 44,000 (2005: 59,000 negative).

The Pre-tax Profit on ordinary activities in the period at SIA Coffee Nation
('CNL') (Latvia) was 2,000 (2005: 8,000 loss - 4 months only). EBITDA was
positive at 19,000 (2005: 16,000 - 4 months only).

CHI Slovakia s.r.o. ('CHIS') (Slovakia) commenced trading in mid-August 2006.
The Pre-tax Loss on ordinary activities in the period to 30 September 2006 at
CHIS was 11,000. EBITDA was negative at 10,000.

The Loss attributable to the Group at CHI Bulgaria OOD ('CHIB') (Bulgaria) for
the period was 8,000.

Combined overheads for all operating companies were 8% of total Group sales
(2005: 11%).

Stonking results as expected - a few traders selling at 35p taking the edge off the SP to allow a nice 80k buy at 35.5p. Take out the broker-broker trade and the roll over of 27k (?) and you have pretty much evens buy/sell on relatively good volume for the day so far.

Tuck away for another 6 months and wait for the finals which I expect to show net profits after tax of 100-200k. I must say FRS rules make a nonsense of understanding simple money-in v. money-out. I like my intangibles to be amortised fairly rapidly and charging deemed cost of options and share schemes to the P/L just gets in the way of seeing the underlying business. We're all grown-ups, we can all take a view on how such things affect capital dilution - whether it's net positive, because they earned the bonuses, or net negative because they paid themselves a bonus anyway. Whinge over.

My back-of-envelope calcs, on a 40% (any more accurate bids, please?) increase in turnover for 2008, suggests a decent net profit bringing the PE within mooonshot and, most importantly, cash generation of 2-2.5m - plenty to self-fund further expansion running at about 1m for 20 new premises in 2007. Looks like we are into the acceleration phase of growth.

In fact, no longer interested in 2007 finals, just want to see that the management can sustain its entrepreneurial edge as they expand their estate. Next major gear change I'd like to see is the next major country after Poland to really get seriously populated.

Very pleased (can you tell?).

Nice little comment here within report re Competitors.

Good post above SD - I share totally your optimism

Markets - Overview

Competitive Environment

Although the competitive environment remains benign, there have been press
announcements in recent months of plans by international coffee bar operators to
enter some of our current and target markets.

Our view on competition remains unchanged; that is, given the embryonic
development phase of our sector in central Europe and because, in our view,
consumer education still remains the key constraint to market growth, any
credible competition is likely to accelerate overall market growth to the
benefit of all responsible operators, including coffeeheaven.

Costa Coffee to enter Poland shortly under frachise agreements, if my opinion this is good as they would not enter market if there wasn't potential profit to be made... COH couldn't hope to develop this profitable market with competition so was inevitable really but shows the growing market and adoption of the western life style... SP should stabilise around 35p now and then hopefully with more news 40p should be our next target (waiting for brokers notes)...