Jollibee optimistic on continued growth

MANILA, Philippines — Jollibee Foods Corp. (JFC), the Filipino-owned Asian food conglomerate, sees growth and expansion continuing this year following a strong start in the first quarter.

During JFC’s annual stockholders meeting, Jollibee Group CEO Ernesto Tanmantiong said the company continued to perform well in the first quarter   with system-wide sales of its businesses in China, North America (Philippine brands), Europe, Middle East, Asia, and Australia (EMEAA) reaching pre-pandemic levels.

This was driven by continued store expansion, Tanmantiong said.

JFC  opened 107 new stores in the first quarter: 19 in the Philippines, 19 in China, nine in North America, and 13 in EMEAA. SuperFoods and CBTL also opened 19 and 28 stores, respectively.

In the first quarter, JFC recorded a net income attributable to equity holders of the parent company of P2.3 billion compared to P152.6 million a year ago.

Tanmantiong said the company recorded an income in 2021 from a loss in 2020. The company’s operating income reached P6.3 billion in 2021, almost equal to the  P6.5 billion it made in 2019.

“This was our defining achievement for 2021–to have generated an operating income at par with pre-pandemic levels even as system-wide sales were behind by 13.2 percent,” he said.

Tanmantiong attributed this to strong cost and profit management, as well as initiatives that adapted to changing consumer habits such as strengthening the company’s off-premise capability, increasing its presence in major digital platforms, and introducing exciting new products.

The Jollibee Group likewise continued with its store network expansion in 2021, opening 399 stores with a total capital expenditure of P7.9 billion for both new stores and renovation of existing stores.

Of the 399 stores opened in 2021, 314 were opened internationally even despite the Omicron surge.

In 2021, Jollibee Group made significant new investments to expand its portfolio.

The group increased its commitment in Titan Dining LP, the private equity fund owning the Tim Ho Wan Brand; and also added Yoshinoya to its portfolio as its first Japanese-cuisine restaurant chain in the Philippines.

It also acquired a majority stake in Milkshop International Co. Ltd., which owns the popular Taiwanese bubble tea brand Milksha with over 250 outlets globally.