Jollibee fourth quarter net income up on overseas expansion

ABS-CBN News

Posted at Feb 18 2020 05:43 PM | Updated as of Feb 18 2020 05:52 PM

But full year profit dips

MANILA -- Jollibee said Tuesday net income in the fourth quarter got a bump from newly-acquired The Coffee Bean and Tea Leaf (CBTL), as it expected its overseas expansion outpacing local growth this year.

Net income from October to December grew 37.1 percent to P1.8 billion. The designer coffee chain added 9.4 percent to revenue growth of 17.7 percent, Jollibee told the stock exchange.

For the full year, Jollibee said net income attributable to shareholders fell 14.4 percent to P6.3 billion.

The year 2019 "was a very tough year for JFC, but the resilience and determination of our people have kept driving the business forward," JFC CEO Ernesto Tanmantiong said. 

Investors had doubts over Jollibee's $350 million acquisition of CBTL in July, sending its stock price down. 

"We look forward to a much stronger sales and profit performance in 2020 and the years ahead even as we consolidate the financial performance of CBTL into our financial results,” he added.

The group invested P10.1 billion for new stores, renovations and supply chain facilities, it said. It opened 273 stores in the Philippines and 224 abroad, bringing its total store network to 5,971 at the end of 2019.

For 2020, Jollibee plans to open 600 more store locally and abroad, it said. For the first time, the group’s international business may generate “greater organic store expansion” than the Philippines business, the company said.