Shakey’s posts P762M net income in 2017, up 14%

Shakey's Pizza Asia Ventures Inc., the franchise holder of Shakey's Pizza restaurants in the Philippines, reported a net income of P762 million in 2017, up 14 percent from P669 million in 2016.

The net income was primarily driven by the sustained increase in revenues, successful store network expansion, and maintained profitability despite higher input costs, Shakey's said in a regulatory filing submitted the company's head of Investor Relations Giovanna Vera on Tuesday.

The company posted a revenue of P7 billion, 17 percent higher year-on-year.

System-wide sales breached the P8 billion mark, surging 14 percent to P8.3 billion on the back of same-store sales growth of 5 percent.

Shakey’s ended the year with 24 new stores opened, ahead of its earlier target of 20. This brought its total Philippine store network to 208 as of end 2017.

“Our strong topline performance, underpinned by healthy same-store sales growth and record new store openings last year, demonstrates the strength of the Shakey’s brand even in a highly competitive environment,” Shakey's president and CEO Vicente Gregorio said.

“Despite higher raw material prices and the current inflationary environment, synergies realized post-acquisition of the Century Pacific Group, inventory strategies, and various operating efficiencies have supported our above average margins and allowed us to invest in capability-enhancing initiatives,” Gregorio added.

For 2018, the company earlier announced its plan to open another 20 new stores in the country, to bring its nationwide store count to 228 by end-2018. —KG, GMA News