Shakey’s Pizza Asia Ventures Inc., the leading chained full-service restaurant, increased net income in 2017 by 15 percent to P762 million despite higher operating costs.
Shakey’s said in a disclosure to the stock exchange systemwide sales hit P8.3 billion, up 14 percent from a year ago, driven by store network expansion and a healthy five-percent same store sales growth.
“Our strong top line performance, underpinned by healthy same-store sales growth and record new store openings last year, demonstrates the strength of the Shakey’s brand even in a highly competitive environment,” Shakey’s president and chief executive Vicente Gregorio said.
“Despite higher raw material prices and the current inflationary environment, synergies realized post-acquisition of the Century Pacific Group, inventory strategies, and various operating efficiencies have supported our above average margins and allowed us to invest in capability-enhancing initiatives,” added Gregorio.
Shakey’s in 2017 opened 24 stores ahead of its earlier target of 20, bringing the total Philippine store network to 208 at the end of 2017.
The pizza chain last year also signed two area development agreement involving the construction of 10 Shakey’s stores in Kuwait and another 10 in Dubai.
The company earlier announced plans to open another 20 net new stores in the Philippines this year, which will bring the nationwide outlet count to 228 at the end of 2018.
“Aside from opening several new stores in locations outside of typical first tier cities, we are also upgrading the look and feel of existing stores to enhance our guests’ dining experience. Parallel to these activities meant to strengthen our dine-in presence, we are likewise beefing up delivery systems to support our guests’ growing need for convenience,” Gregorio said.
“While we face a tougher comparable period during the early part of this year, with Filipinos’ consumer confidence high coupled with the various initiatives we have lined up, we are looking forward to another banner year in 2018,” he said.