Shakey’s 2025 net income down on higher opex, subdued same store sales

Shakey’s Pizza Asia Ventures Inc. posted a double-digit decline in its net income for 2025, dragged by higher operating expenses and subdued same store sales as discretionary spending declined in the second half of the year.

Shakey’s said its headline net income after taxes (NIAT) fell 32% to P816 million, with net profit margins at 5.1%. Removing the one-off items in the second quarter, its core NIAT dropped 20% to P952 million.

“2025 was a tale of two halves. The first six months saw robust restaurant performance of stabilizing inflation and major campaigns like Shakey’s 50th anniversary. However, the second half of the year saw a pullback in discretionary spending,” president and chief executive officer Vicente Gregorio said in an emailed statement.

“Nonetheless, beyond navigating near-term headwinds, we made deliberate investments in network expansion, opening stores with attractive payback periods, reflecting our confidence in the long-term growth opportunities,” he added.

Systemwide sales for the year grew 14% to P24.8 billion, while same-store sales growth was recorded at 1% due to soft consumer confidence and operating headwinds. Group revenues climbed 11% to P16.1 billion.

The company opened 351 new stores and outlets in 2025, ending the year with 2,970 units in its global network, approximately 16% of which are international stores.

“Entering 2026, our operating landscape has become even more complex, muddled by geopolitical tension and its impact on the macroeconomic environment. Hence, we place our focus on what we can control: reinforcing business resilience,” Gregorio said.

“This means keeping our core brands relevant, optimizing our network while pursuing sustainable expansion, and driving cost discipline,” he added.

Shakey's Pizza Asia operates the brands Shakey's, Potato Corner, Peri-Peri Charcoal Chicken and Sauce Bar, R&B Milk Tea, and Project Pie.

Shares in the company were last traded at P6.59 apiece, down by 8 centavos or 1.20% from Wednesday’s finish of P6.67 per share. —VAL, GMA News