Jollibee Foods profit slides despite strong fourth quarter
Philippine restaurant brand Jollibee Foods suffered a 14.4-per-cent drop in earnings last year after operating income fell by 25.1 per cent.
However a strong fourth quarter prevented a worse annual result, with operating income up 11.6 per cent on a 23.2-per-cent boost on systemwide sales.
“Practically all brands in the Philippines improved their same-store sales growth quarter on quarter, led by Jollibee, Red Ribbon, Greenwich and Burger King,” said a spokesperson from the firm.
“Same-store sales growth in the Philippines was driven by the continued growth in volume of customer visits in the stores compared to a year ago and strong growth in delivery business for all brands.”
Jollibee Foods president and CEO Ernesto Tanmantiong said that despite a tough year, the current turnaround is being brought on by an increase in customers in store and growing demand for its delivery business.
Favourable returns on the firm’s investments – including a notable expansion of Jollibee’s newly acquired The Coffee Bean and Tea Leaf chain – have helped improve the pace of earnings.
Jollibee Foods is targeting opening 600 more outlets this year, a little more than half of those abroad.
“We look forward to a much stronger sales and profit performance in 2020 and the years ahead even as we consolidate the financial performance of CBTL into our financial results,” said Tanmantiong.