UK-based specialty coffee chain, Black Sheep Coffee, is gearing up for international debuts in the United States and the United Arab Emirates (UAE) following a remarkable doubling of its annual sales in 2022. The robusta coffee specialist achieved a 99% increase in turnover, reaching £21.3 million ($27 million), as it continued to scale across the UK and prepare for global growth.

Despite the impressive sales growth, Black Sheep Coffee reported a pre-tax loss of £5.8 million ($7.3 million), attributing it to store expansion and rising costs, which surged from £7.6 million ($9.6 million) to £14.5 million ($18.3 million). The company remains resolute in its commitment to enhancing customer service, expanding the store network, and developing its franchise business, as indicated in its recent filing with Companies House.

Throughout 2022, Black Sheep Coffee opened 11 net new stores, bringing its total UK sites to 75, with an additional 25 in development. While the UK generated the majority of sales, international locations in Paris and a now-closed site in Manila contributed only a fraction to the total turnover.

With its eyes set on global expansion, Black Sheep Coffee is set to make its mark in the US and the Middle East. Plans include the launch of two stores in Dallas, Texas, and four outlets in the UAE in the coming year. A significant move in its Middle East strategy is the recently signed 30-year franchise agreement with Al Farran Investment, aiming to open 250 stores across the region within 15 years. The partnership will kick off with three outlets in Dubai and one in Abu Dhabi.

Black Sheep Coffee’s strategic move into the Middle East aligns with the region’s booming coffee market, which witnessed a 10.5% growth in outlets in 2022. The specialty coffee scene is gaining significant traction, particularly in the UAE, Saudi Arabia, and Kuwait, making the Middle East expansion a promising venture for Black Sheep Coffee.

Despite challenges such as record inflation in the UK, high energy prices, and increased costs of coffee and milk, Black Sheep Coffee remains optimistic. The company recently posted an 89.7% first-quarter sales growth to £8.27 million ($10.4 million), emphasizing its commitment to pursuing unique opportunities and doubling down for growth on a global scale.