McDonald’s Phl allots P2 B for capex this year

Golden Arches Development Corporation (GADC), the master franchise holder of McDonald’s in the Philippines, is pouring in P2 billion this year to sustain its double digit growth momentum.

The company raked in P42.6 billion in system wide sales last year, up 14 percent.

For 2018, the company remains committed to growing its foothold in the Philippine market with big bets in store unit expansion and digital innovation.

It expects another doubledigit growth this year.

The P2 billion will be used to fund the opening of at least 40 more new stores and other nationwide growth initiatives founded on customer experience, value and convenience.

“We are confident our expanded presence will also spur employment in our new areas of operations. By opening more new restaurants, we will be able to generate jobs and provide world-class training for thousands of young Filipinos. We also enhance economic activity in areas where we will be present,” said Kenneth Yang, president and CEO of McDonald’s Philippines.

Yang said the focus on customer experience, strong and sustained demand for its products and convenient services across the country have allowed McDonald’s to further expand its market share and post the fastest growth in the quick service restaurant (QSR) industry.

“Alongside expansion of our physical stores, we see eCommerce as another strong source of incremental business growth as our delivery service has been growing year on year. We’re proud of our gains in McDelivery as the first QSR to have an online delivery site in 2009 and an app in 2014,” Yang said.

Last year, McDonald’s Philippines opened 52 new stores across the country and reached new territories like Antique, Sorsogon, Masbate, and San Francisco, Agusan del Sur.

With this expansion, McDonald’s was able to provide jobs to 4,000 Filipinos, consistent with its employment practice of hiring direct employees since it started operations in the Philippines in 1981.

To date, McDonald’s Philippines has a store network of over 570 and close to 60,000 regular employees.