Jollibee net income jumps by 26% to P7.5 billion in 2022

MANILA, Philippines — Jollibee Foods Corp., (JFC) reported a net income of P7.5 billion last year, up 26.4 percent.

Given its strong growth, JFC plans to open 550 to 600 owned and franchised stores this year and expects capital expenditures to be in the range of P17 billion to P19 billion.

In the fourth quarter, however, net income reached P320 million, down 90.3 percent from P3.3 billion in the same period last year.

The company raked in systemwide sales of P296.8 billion, up 40.2 percent while fourth quarter sales rose 38.5 percent to P85.9 billion.

JFC CEO Ernesto Tanmantiong said the company was able to report strong growth despite challenging conditions.

“The JFC Group delivered another year of strong growth in challenging macroeconomic conditions. System wide sales (SWS) and revenue for the entire year grew by 40.2 percent and 38 percent, respectively, both at the high end of our 35 percent to 40 percent guidance range for the year,” he said.

In 2022, the JFC Group continued its global expansion momentum.

“We opened 542 stores and grew store network by 9.2 percent versus prior year, exceeding our guidance for 2022. This is the highest number of stores opened in a single year in JFC’s history,” Tanmantiong said.

Against a backdrop of high inflation and COVID-19 related disruptions in China, the JFC Group generated an operating profit of P9.9 billion, 58.4 percent higher than 2021 and 6.5 percent better than the 2018 pre-pandemic operating income level of P9.3 billion.

JFC expects full year systemwide sales to rise by 15 percent to 20 percent, with same store sales growth of seven percent to 10 percent and store network increase of not less than five percent.

Amid strong sales, JFC declared a regular cash dividend of P8.20525 per share for Series A preferred shares, for a total payout of P24.6 million and a regular cash dividend of P10.60125 per share for Series B preferred shares, for a total payout of P95.4 million.

Tanmantiong said the company would continue to strive for growth even as it expects challenges to persist.

“Looking ahead, while we expect macroeconomic challenges to persist in 2023, we are confident that the JFC Group is resilient and well-positioned to drive near-term growth,” he said.