from DION HENRICK in Cape Town
CAPE TOWN – RESTAURANT chain, Spur, has achieved a solid trading performance for the year, following recovery from the impact of the COVID-19 pandemic in the past two years.
Following the relaxation of trading restrictions, trading conditions improved from August 2021 with franchised restaurant sales in the first half of the 2022 financial year growing by 28,3 percent over the prior comparable period to December 2020.
This strong growth trend continued into the second half of the 2022 financial year, with a 28,5 percent increase in South Africa restaurant sales and a 24,7 percent increase in international restaurant sales over the second half of the 2021 financial year.
“The improved trading performance together with a focus on expanding margins, as well as the reduced level of financial support required by franchisees post pandemic, led to a strong recovery in both group revenue and profit,” Spur stated.
The Johannesburg Stock Exchange-listed firm said although economic conditions remain challenging in the face of higher inflation and severe pressure on consumer disposable income, the group’s business model continues to demonstrate its resilience.
The group continued to focus on increased brand awareness, everyday value and consumer convenience, including takeaways, click and collect services and third-party deliveries.
“In addition, the close collaboration and partnership with the franchise network enabled several ongoing strategic initiatives to be implemented during the year, including supply chain improvements.”
Cape Town based Spur’s results for the year ended June 30, 2022 are expected to be released on August 19.
– CAJ News