Jollibee income up 33.4% as sales, revenues increase

JOLLIBEE Foods Corp. on Thursday reported a 33.4-percent increase in 2022 net income to P7.34 billion, from P5.50 billion a year earlier, as a reopening of the economy saw more people patronizing its fast-food businesses.

Full-year consolidated operating income grew by 58.40 percent to P9.9 billion, with operating margins improving to 4.7 percent from 4.1 percent of revenues.

“The Jollibee Foods Corporation Group delivered another year of strong growth in challenging macroeconomic conditions. System wide sales (SWS) and revenue for the entire year grew by 40.20 percent and 38 percent, respectively, both at the high end of our 35 to 40 percent guidance range for the year,” Jollibee Chief Executive Officer Ernesto Tanmantiong said in a statement.

“Our 2022 sales growth was driven by our 27-percent same-store sales growth, 6.1 percent from new stores, the impact of the Milksha acquisition, and 5.2 percent contributed by foreign currency translation gain,” he added.

“Dine-in sales also improved significantly driven by increased mobility due to easing of restrictions in markets where we operate. Offpremise channels, particularly delivery, showed continued resilience, and we expect sustained robust growth as we further improve our digital touchpoints.”

Consolidated revenues grew by 38 percent to P211.90 billion from P153.58 billion.

System wide sales (SWS) both from company-owned and -franchised stores grew by 40.20 percent to P296.82 billion from P211.72 billion.

Full-year SWS in the Philippines grew by 44.6 percent and international SWS grew by 34.0 percent.

The company expects full-year 2023 SWS “to be up by 15 percent to 20 percent, with same store sales growth of seven percent to 10 percent and store network increase of not less than 5.0 percent.”

“Operating income growth will be in the range of 20 percent to 25 percent, it added.

Jollibee plans to open 550 to 600 owned and franchised stores (gross) in 2023 and expects capital expenditures to be in the range of P17 to 19 billion.

Jollibee’s share price took a hit on Thursday, down P9, or 4 percent, to P215.00 amid a 0.95-percent drop for the benchmark Philippine Stock Exchange index.