JOLLIBEE FOODS Corp. announced on Wednesday a 16.6% decline in its second-quarter net income, falling to P2.33 billion from the previous year’s P2.79 billion.
In a regulatory filing, the company attributed this decline to one-time gains from land conveyance and sale of land properties last year, amounting to P1.1 billion and P2.9 billion, respectively.
The company recorded a 16.9% increase in system-wide sales (SWS), which measures all sales to consumers from both company-owned and franchised stores, rising to P85.49 billion from P73.15 billion the previous year.
“System-wide sales of the Philippine business grew by 14.5% while international business grew by 20.9%,” said Jollibee President and Chief Executive Officer Ernesto Tanmantiong.
“Our China business posted the highest year-on-year incremental international sales driven by consumption recovery from pandemic disruption last year,” Mr. Tanmantiong added.
In line with the sales results, its top line rose by 16.8% to P60.79 billion from P52.05 billion in the same period last year.
The company’s same-store sales growth (SSS) for the three-month period went up by 9% globally, primarily driven by an increase in transaction volumes.
The Philippines saw an 11.3% higher SSS, while international markets grew by 5%. However, the company’s coffee and tea business declined by 1.8%.
Meanwhile, the company reported a 13.9% decline in first-half attributable net income to P4.39 billion from P5.1 billion the previous year.
The company’s SWS for the first semester likewise increased by 23.3% to P164.13 billion from P133.13 billion last year.
Its top line rose to P115.88 billion, 22.1% higher than P94.91 billion in the same period last year.
“We remain focused on improving our margins through strong revenue generation and operational efficiencies and will continue to execute on our strategic priorities including accelerating the growth and improving the profitability of our international business,” Jollibee Chief Financial Officer Richard Chong Woo Shin said.
The company opened 270 stores during the first half, 230 of which are in the international markets.
As of June, the company’s store network has increased by 5.1%. The group operates 6,617 stores worldwide, with 3,287 stores in the Philippines and 3,330 international stores across various brands. — Adrian H. Halili