Philippine fast-food company, Jollibee Foods Corporation (JFC) is aiming to expand its global presence by opening up 600 stores this year.
In a stock exchange filing, Jollibee said it plans to open 550 to 600 owned and franchised stores in 2023, expecting the capital expenditures to range from P17 to P19billion.
This exceeds the total stores opened last year, which was 542.
Based on its target for the year, the JFC Group projects full year systemwide sales to be up by 15% to 20%, with same store sales growth of 7% to 10%. Operating income growth will be in the range of 20% to 25%.
The JFC Group seems to be displaying steadfast growth. Its chief financial officer, Richard Shin, stated that the JFC Group demonstrated strong operating leverage in 2022 with store and manufacturing costs and operating expenses declining by 2.6% and 0.2% of revenues, respectively.
The company also booked a net income of P7.338 billion in 2022, up 33.4% from P5.502 billion in 2021 driven by P211.9 billion in revenues, which grew by 38% year-on-year.
“It has also stepped-up investments in brand building as well as organization capabilities, particularly for our international business which will help drive profitable growth over time,” he added.
“Looking ahead, while we expect macroeconomic challenges to persist in 2023, we are confident that the JFC Group is resilient and well-positioned to drive near-term growth. We have clear priorities on profitability while we continue to invest strategically to deliver long-term growth and value for our shareholders,” said JFC CEO Ernesto Tanmantiong.
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