Black Sheep Coffee reports EBITDA milestone as franchises grow

Black Sheep Coffee has reported its first positive EBITDA while continuing to sign franchise partners across the UK and Ireland. The financial milestone comes alongside three new territory agreements, bringing fresh attention to the coffee chain’s expansion plans and the availability of opportunities for prospective partners.

First positive EBITDA after 12 years

According to MCA Insight, as reported by L’Express Franchise on 19 October 2026, Black Sheep Coffee recorded EBITDA of around $1 million for its last financial year. The result follows 12 years of annual losses.

Co-founder Gabriel Shohet shared the figure after the business filed its FY25 accounts. He said EBITDA was forecast to rise in FY26, although the report did not give a figure for that expected increase.

The distinction between a reported result and a forecast matters. The positive EBITDA relates to the completed financial year; the anticipated improvement is management’s expectation for the following year, rather than an achieved outcome.

EBITDA measures earnings before interest, tax, depreciation and amortisation. It is a useful indicator of operating performance, but it is not the same as net profit or cash available to the business. The milestone should therefore be read as a specific improvement in Black Sheep Coffee’s financial performance, not as confirmation of profitability under every accounting measure.

Three agreements narrow territory availability

The financial announcement followed a separate update on franchise development. On 15 October 2026, Propel reported that Black Sheep Coffee had signed three new territory agreements, leaving only five territories remaining across the UK and Ireland.

That combined geographical figure is the key point for Ireland’s franchise community. It shows that Ireland remains within the chain’s reported franchise development footprint, but it does not establish how many opportunities are available on either side of the Irish Sea.

The report did not name the five remaining territories or identify the locations covered by the three new agreements. It would therefore be premature to describe the update as confirmation of a particular Irish opening or a newly appointed Irish franchise partner.

Territory agreements and trading locations are also different milestones. Signing an agreement does not, by itself, confirm that premises have been secured or that a coffee shop has opened. For prospective partners, the announcement is an indication of territory allocation rather than a store-opening schedule.

Earlier ambitions need a careful comparison

Black Sheep Coffee had previously outlined ambitious plans for franchise recruitment. In March 2025, Shohet told MCA that the business had seen “tremendous traction” in UK franchise development and expected franchisees to be in place in every UK territory before the end of FY2025.

The October 2026 report provides a later snapshot, but the two statements have different geographical scopes. The earlier ambition concerned UK territories, whereas the more recent availability figure combines the UK and Ireland.

Without a breakdown of the five remaining territories, those statements do not establish whether the original UK recruitment target was met. They do, however, show that territorial franchise development has remained a recurring feature of the company’s growth announcements.

Propel’s diary also noted that Black Sheep Coffee had recently opened its first UK drive-through, in Blackburn. That adds another trading format to the expansion picture, although it is not an announcement of an Irish drive-through or evidence that the same format is available to Irish applicants.

What Irish prospective partners should check

For prospective franchisees in Ireland, the immediate question is whether a suitable territory is still available. The combined UK and Ireland total cannot answer that without further clarification from the brand.

The financial milestone also deserves a closer look at the appropriate level. A company-wide EBITDA figure does not establish the likely earnings of an individual franchised coffee shop. Applicants should assess proposed premises, local operating costs, investment requirements and the terms of any territory agreement separately from the wider business’s reported performance.

Practical takeaway: Confirm Irish territory availability directly, distinguish signed agreements from planned openings, and assess location-level economics alongside the brand’s financial progress before committing.