Fast food group Famous Brands on Friday reported that turnover for the September quarter had increased 18%, reflecting robust growth from existing restaurants, complemented by revenue achieved from the addition of a further 45
restaurants over the past three months across the group’s franchise network.
This is ahead of the upcoming holiday peak trading season.
Highlights for the quarter include a 30% improvement in system wide turnover at Debonairs Pizza and the opening of the brand’s 200th restaurant, located in the Sandton City shopping mall. The brand was launched in 1991 as a home delivery offering.
Kevin Hedderwick, Famous Brands’ chief operating officer says: “Debonairs Pizza’s home delivery concept is as strong as ever, but we are witnessing a parallel development which is the robust growth of these restaurants in prime shopping malls.”
Double-digit turnover growth was experienced across the group’s brand portfolio, and there was a 75% improvement in revenue reported by FishAways.
“While this growth is off a low base, the potential for this brand is enormous. Seafood is gaining momentum as a category — it offers a healthy, convenient protein option. We are confident that with the brand’s increased footprint and accessibility, growth will be exponential”, said Hedderwick.
FishAways has opened 15 restaurants over the past 12 months, recently reaching the 50 outlet milestone.
The group’s airport restaurants also delivered record performances. Hedderwick said that the competition between low cost airlines has increased the number of consumers at airports. He said that the success of the group’s existing and recently opened restaurants at airports will ensure that further prospective sites are explored.
On 16 November Famous Brands announced the acquisition of 38 Bimbo’s franchise agreements relating specifically to Engen sites, with a view to converting these to Steers restaurants.
Hedderwick says: “Good progress is being made in securing the necessary franchise conversion agreements, a condition precedent of the deal. We are confident that once converted, these restaurants have the potential to double their existing turnover.” – I-Net Bridge