Restaurant chain eyes China

Max’s Group, Inc. is confident of tracking growth in the medium-term amid its recent rationalization that led to store closures for some brands and a shift in focus for others to achieve better efficiency. 

Robert Trota, Max’s president, said the company remains focused on expanding its business after going through the stage of rationalization that prepared the company for growth in the next five years.

  “We’ve signed a development agreement for China already. Hopefully we’ll be on our second and third store in the next few months,” said Trota. 

“Right now, it’s just Yellow Cab, but we’ll carry other brands, though right now the focus is on Yellow Cab,” he added. 

Trota noted Max’s is set to achieve its goal of 1,000 stores by 2020, 200 of which will be overseas. 

“If we make it right, it’s going to be big for the Max’s Group. So we want do it right the first time and (we’re) trying that with our current partner,” Trota said of the company’s China push. 

Last year, Max’s signed seven area development agreements and opened 16 stores overseas. It plans to set up 141 more international locations.

As of end 2016, the company had 623 restaurantsin its network, 49 of which are located in North America, Middle East and Asia.

“We continue to be positive on the condition of the Philippines. We continue to roll out stores because there’s more room for the business to grow,” said Dave Fuentebella, Max’s chief finance officer.

Max’s has allocated approximately P750 million toP800 million for this year’s capital expenditure to rollout 60 to 70 new stores primarily among core brands Max’s Restaurant, Pancake House, Yellow Cab Pizza and Krispy Kreme for the year.

Max’s closed 2016 with profits of P561.74 million, up 12 percent from P501.39 million in 2015, while its consolidated revenuesrose 10 percent to P11.44 billion last year from P10.37 billion the prior year. 

Max’s is the largest casual dining operator in the Philippines through its brands Max’s Restaurant, Pancake House, Yellow Cab Pizza, Krispy Kreme, Jamba Juice, Max’s Corner Bakery, Teriyaki Boy, Dencio’s, Meranti, Sizzlin’ Steak, Maple, Kabisera, Le Coeur De France and Singkit.

 

Source: http://www.malaya.com.ph/business-news/business/restaurant-chain-eyes-china



Tags: max's, international, franchise,
Date: May 9, 2017