Restaurant operator Max’s Group Inc. said earnings in the first nine months of the year eclipsed prepandemic profits on the resurgence of dine-in sales.
The operator of Max’s Restaurant and Yellow Cab pizza said net income from January to September jumped 82 percent to P427 million while revenues reached P7.77 billion, up 46 percent.
“We have achieved in successive quarters our promise to deliver agility regardless of market volatility and global conditions. Our results have proven time and again that we can reach greater heights despite challenged conditions to serve our stakeholders and consumers,” Max’s Group CEO Robert F. Trota said in a statement.
Operating costs grew slower than sales, pushing up margins. According to the company, net income margin rose to 5.5 percent during the nine-month period from 3.2 percent last year.
“Higher margins prove its viability and sustainability as it has shown in various market conditions,” said Max’s Group chief finance officer Maria Rochelle S. Diaz.
The company’s systemwide sales, which counts both company-owned and franchised stores, climbed 46 precent to P12.56 billion during the first three quarters of the year.
A large reason for the uptick was the removal of dine-in restrictions last March. The company added further “upside” was expected for the dine-in category.
“We are cautiously pleased with the results of the Group throughout 2022 thus far,” said Max’s Group president Ariel P. Fermin.
“Despite the headwinds, the business revolution we orchestrated throughout the pandemic continues to bear fruit in how our organization runs, how our brands perform, and how our economic model delivers profit,” he said.
“At an organic level, we are particularly proud of how our margins outperform 2019 levels making it an attractive, reliable choice for our shareholders, our business partners, and our employees,” he added.
For the third quarter alone, systemwide sales expanded by 55 percent to P4.47 billion while revenues surged 64 percent to P2.79 billion.
Net income during this period ended at P146.3 million, reversing a loss of P157.5 million during the same period last year.
Max’s Group said local market sales climbed 72 percent in the third quarter. The international business reported a 15 percent growth “despite labor challenges in the North America market.” It added that with new agreements were in place to expand global reach in other markets.
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