Shakey’s Pizza bets on 2022 Christmas holidays to lift sales past prepandemic level
Shakey’s Pizza Asia Ventures Inc., lead by the Po family, is banking on the Christmas season to push restaurant sales above its prepandemic financial performance.
The operator of Shakey’s, Peri Peri Charcoal Chicken and Potato Corner said systemwide sales in the first nine months of the year nearly doubled to P9.6 billion.
Shakey’s Pizza systemwide sales, which include company-owned and franchised stores, reached P10.4 billion in 2019.
“The coming holiday festivities will give our topline the seasonal lift to exceed prepandemic levels this year,” company president and CEO Vicente Gregorio said in a statement.
“While we see headwinds, in particular the elevated cost environment and its impact on consumer sentiment, we keep our focus on keeping a tight ship and providing value to our guests during this time,” he added.
Gregorio said they also expected full-year profits to “end close to” the 2019 figure of P865 million.
From January to September, Shakey’s Pizza reported a profit of P454 million, which reversed a P35- million loss in 2021.
The loosening of mobility restrictions early this year was a key catalyst for the firm, which is reliant on both dine-in sales and deliveries.
Earnings were also bolstered by the acquisition of Potato Corner (PC), a popular French fries chain.
“With its thousand-strong store network, the business likewise benefited from improving foot traffic. Nonetheless, same-store sales grew by 32 percent sans [Potato Corner],” according to Shakey’s Pizza.
Since June, the company opened 79 new outlets. Potato Corner accounted for the lion’s share as it opened 71 new stores while Peri Peri opened seven new branches. The company also opened first multi-branded drive-thru store.
Meanwhile, the company said margins were protected amid the high inflation environment as net profit margins during the nine-month period rising 7.60 percentage points to 6.7 percent.
“The operating environment has been tough for the past couple of years, but the team pulled through, leveraging the strength of our brands, innovating with new store formats, and investing in digital,” Gregorio said in the statement.
“Now that the Philippine economic reopening is at hand, we are intent on maximizing this opportunity to fuel business recovery and expansion,” he added.
