MANILA -Balai ni Fruitas Inc., the listed subsidiary of food kiosk king Lester Yu’s Fruitas Holdings, saw profits surge last year as it rapidly expanded its store network while shielding margins from inflationary pressures.
Net income in 2022 jumped 336 percent to P37 million while revenues climbed 129 percent to P341 million, a stock exchange filing showed.
Balai operates bakery chain Balai Pandesal and food outlets Buko ni Fruitas and Fruitas House of Desserts.
“This is an outstanding accomplishment for Balai. Our dedication to providing outstanding products and excellent customer experience has made us stand out in the market and draw in new clients,” said Yu, who is president and CEO of Balai.
The company’s financial performance was driven by its store network expansion from 77 outlets in 2021 to 98 branches at the end of last year.
Notably, Balai said profit margins reached 52 percent for the full year despite elevated input costs.
“Balai’s growth has already surpassed our initial estimates, and we aim to accelerate the growth even more by strategic store expansion, continuous product development, and curating third-party products to be made available through our platform,” Yu said.
Earnings before interest, taxes, depreciation and amortization (Ebitda), a measure of profitability, soared 240 percent to P68 million last year. Ebitda margin improved to 20 percent.
“In the future, Balai wants to maintain its growth trajectory by broadening its product selection, and making investments in new markets and technologies,” the company said in the stock exchange filing. INQ
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