JFC revenues down by 2.3% TO P39.4B; Exec sees higher losses in Q2

SYSTEM wide sales of Jolibee Food Corp. (JFC) both from company-owned and franchised stores increased by only 1.6 percent to P55.2 billion for the first quarter of 2020.

Revenues decreased by 2.3 percent to P39.4 billion due to the impact of the Covid-19 pandemic which led to temporary closure of a high number of stores in the Philippines and markets abroad. System wide sales included the consolidation of The Coffee Bean & Tea Leaf (CBTL).

Excluding CBTL, system wide sales declined by 10 percent. As of end of March, the following were the percentages of stores temporarily closed due to the pandemic: Philippines (69 percent), China (six percent), North America (16 percent), CBTL (32 percent) and EMEAA (23 percent).

JFC chief financial officer Ysmael Basya said: “JFC’s financial performance in 2020 will not be a good one. It will incur higher losses in the second quarter when the full lockdowns on the business will be felt.

We expect the business to start recovering in the third to fourth quarters but we assume that the recovery will be slow.” The company announced it will spend P7 billion for implementing significant changes to its global business structure. The firm’s planned capital expenditures for 2020 was reduced by 63 percent from P14.2 billion to P5.2 billion. Operating loss for the first quarter amounted to P1.3 billion. (PR)

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