Jollibee Foods Corp. founder Tony Tan Caktiong is not losing faith in his two money-losing US restaurant chains as he is confident he’ll be able to turn around the operations of Smashburger and Coffee Bean & Tea Leaf Co. next year.
During JFC’s virtual annual stockholders meeting, Tan Caktiong said the group is shutting down non-performing stores, rationalizing workforce and facilities as well as opening new ones to turn its US-based acquisitions profitable.
He said Coffee Bean would be consolidated into JFC’s financial accounts this year.
“We’re very bullish in the coffee category in the years to come,” he said.
Jollibee acquired Denver-based Smashburger in 2018 for $210 million and California-based Coffee Bean in 2019 for P330 million.
The sluggish performance of Smashburger and Coffee Bean has weighed on JFC’s net income last year, which declined by 14.4% to P6.3 billion.
Smashburger has incurred losses owing to inconsistent quality and poor store locations. For Coffee Bean, the problem was traced to high administrative costs.
Source: Peso Economics
Hello, my name is Jack Sparrow. I'm a 50 year old self-employed Pirate from the Caribbean.
No comments:
Post a Comment