Resto chains, kiosks post strong profits
From food stalls to standalone restaurants, dining out has made a strong comeback, boosting sales at some of the biggest casual eatery chains. The first nine months of 2022 showed a surge in earnings of publicly listed restaurants despite soaring prices that could eventually crimp demand. Among the big earners were Max’s Group, Fruitas Holdings and Shakey’s Pizza Asia Ventures.
From food stalls to standalone restaurants, dining out is making a strong comeback in the postpandemic period, boosting sales at some of the county’s biggest casual eatery chains.
This was clear during the first nine months of 2022 as earnings of publicly listed restaurants surged despite soaring prices that could eventually crimp demand.
Max’s Group Inc., which owns the iconic Max’s Restaurant chain and Yellow Cab pizza, said earnings in the first nine months of the year eclipsed prepandemic profits.
Net income from January to September jumped 82 percent to P427 million while revenues
reached P7.77 billion, up 46 percent.
Fruitas Holdings, the country’s leading operator of mallbased food kiosks, is seeing a similar resurgence following the winding down of pandemic restrictions early this year.
Its nine-month net income hit P43 million, reversing losses of P16 million in the same
period last year.
Revenues were also up nearly 63 percent to P1.26 billion while margins were kept stable despite the high inflation environment.
Fruitas owns De Original Jamaican Pattie, Johnn Lemon and Buko Loco.
“We are seeing significantly improved results as the economy continues to recover from the pandemic. While we currently face the challenge of high inflation, we are committed to continue delivering value to our shareholders,” Lester Yu, president and CEO of Fruitas Holdings, said in a statement.
The Po family-led Shakey’s Pizza Asia Ventures Inc. expects the coming Christmas holiday season to further boost sales.
From January to September this year, the operator of Shakey’s Pizza, Peri Peri Charcoal Chicken and Potato Corner reported a profit of P454 million, which reverses a P35-million loss in 2021.
Its systemwide sales in the first three quarters of the year nearly doubled to P9.6 billion.
“The coming holiday festivities will give our topline the seasonal lift to exceed prepandemic levels this year,” company CEO Vicente Gregorio said in a statement.
For Max’s Group, net income margin even went up to 5.5 percent during the nine-month period from 3.2 percent last year.
“We are cautiously pleased with the results of the Group throughout 2022 thus far,” said Max’s Group president Ariel Fermin.
For its part, Shakey’s said earnings were also bolstered by the acquisition of the popular French fries chain Potato Corner.