Jollibee Foods Corp., the largest food service company in Asia, said Friday it plans to roll out 200 new stores in the Philippines this year.
This year’s store expansion is lower compared with the 249 stores Jollibee opened in 2015.
Jollibee said in a disclosure to the stock exchange it also planned to build three new commissary facilities in Luzon, expand the capacity of its biggest commissary in Canlubang, Laguna and set up two new distribution warehouses in Luzon to support the fast growing business.
The fast-food chain operator earlier announced plans to spend P10.4 billion in capital expenditure in 2016, or more than double the P4.7-billion capital expenditures in 2015.
Jollibee’s net income attributable to equity holders of the parent company grew 17.7 percent in the first quarter to P1.14 billion.
System-wide sales, a measure of all sales to consumer both from company-owned and franchised stores, increased 14.8 percent to P34.2 billion in the first quarter.
The sales increase was driven by an 8-percent growth in same-store sales on a worldwide basis and store network growth of 6.8 percent. Same-store sales growth pertains to restaurants that were already open for at least 15 months. It excludes sales growth from new stores opening.
Philippine brands reported strong sales in the first quarter, growing 16 percent from a year ago, on continued strong same-store sales growth and higher volume of customer traffic per store.
The company said election-related spending boosted consumer spending and helped drive the group’s same-store sales growth in the first quarter.
The foreign business reported a 10.5-percent growth in system-wide sales in the first quarter. The US business grew 17.4 percent while Southeast Asia and the Middle East business expanded by 32.2 percent, led by Jollibee Vietnam with 48.2-percent growth.
The China business grew at a slower rate of 1.9 percent, as Yonghe King, JFC’s biggest brand in China experienced sales pressure from recovering competing brands.
Jollibee also announced plans to enter other markets such as Malaysia, Oman, Canada, Italy and the United Kingdom.