Max’s Group Inc., the country’s largest casual dining restaurant operator, said its income fell 28 percent to P280.67 million in the first half from last year’s P392.01 million.
The company said the weaker income was a result of last year’s one-off gain of P377 million from the sale of a subsidiary whose primary asset is land.
Excluding the one-off gain, its income would have increased by P266 million, the company said.
“We committed to our stakeholders throughout the ongoing global health crisis that we would deliver a business model tuned to be as pandemic-proof as possible,” Max’s CEO Robert F. Trota said.
“Regardless of any volatility in our various markets across the world, we have been disciplined in optimizing both demand for our deep, diverse portfolio of brands, and the efficiency in which we are able to convert revenue into profit. Our second quarter results prove yet again that our architecture works, even in sub-optimal operating conditions.”
Systemwide sales for the period reached P8.09 billion, a 41 percent growth from last year’s P5.74 billion, despite strict lockdown measures in January due to the Omicron surge.
Relaxation of dine-in restrictions from February onwards caused a significant boost in sales of dine-in brands Max’s Restaurant and Pancake House, supporting the performance of other core brands Yellow Cab Pizza Co. and Krispy Kreme, whose resilience in both delivery and take-out keyed the group’s performance earlier on in the pandemic.
Consolidated revenues of the group reached P4.98 billion, a 38 percent growth from P3.62 billion last year. Local market sales jumped 45 percent from last year as consumer confidence, mobility and the economy continue to revive.
Meanwhile, the international business reported a 27 percent growth despite labor challenges in the North America market, with new agreements in place to further expand global reach in other markets.
As of end-June, the company’s store network totaled 14 territories, with 597 Philippine sites and 63 stores situated across various locations in North America, the Middle East and Asia.
“We are cautiously pleased with the results of the group throughout 2022 thus far,” Max’s President Ariel P. Fermin said.