MANILA, Philippines — Improvement in volume from store expansion and opening boosted the earnings of Figaro Coffee Group Inc. (FCG) in the first half of its current fiscal year.
FCG posted a net income of P282.9 million in the six-month period covering July to December 2023, up seven percent from P265.1 million in the same period the previous year.
The company saw system-wide sales jump by 36 percent to P2.79 billion from P2.05 billion in 2022.
“This was brought about by the opening of 38 stores from July 1, 2023 which brought the total number of stores to 203 by end of December 2023,” FCG said.
FCG’s gross profit margin, however, dipped to 46.8 percent from 48.4 percent due to inflation for major raw materials during the start of 2023.
Operating costs likewise soared by 44 percent on the back of massive store opening activities during the year, which resulted in higher overhead costs.
FCG, through subsidiary Figaro Coffee Systems Inc., operates and franchises a network of retail restaurants that includes Figaro Coffee, Angel’s Pizza, Tien Ma’s and Café Portofino.
FCG continues to expand not only by opening stores but also partnering with other big companies.