Jollibee Foods Raises Guidance After Better Quarterly Profit

By Rthvika Suvarna

Jollibee Foods Corp. raised guidance for operating income after the Philippine fast food giant's quarterly net profit rose on higher sales.

Jollibee, the largest restaurant operator in the Philippines, said Wednesday that net profit in the second quarter rose 31% from a year earlier to 3.04 billion Philippine pesos ($53.3 million).

Quarterly revenue rose 11% to PHP67.2 billion on higher sales from both local and international segments. Operating income hit a record PHP5.1 billion, with improved cost controls boosting operating income margin by 90 basis points, the company said.

Jollibee raised guidance for operating income growth of 18%-20% this year versus 10%-15% previously, and trimmed its capital expenditure plan to PHP16 billion-PHP18 billion from PHP20 billion-PHP23 billion. Jollibee cited quarterly results and its recently unveiled plan to acquire a controlling stake in South Korea's Compose Coffee as reasons behind the change.

JFC's store network grew 5.1% from a year earlier, with the company now operating 6,956 stores worldwide, it said.

Write to Rthvika Suvarna at rthvika.suvarna@wsj.com

(END) Dow Jones Newswires

August 14, 2024 05:03 ET (09:03 GMT)

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