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Restaurant Brands (ASX:RBD) reports 7.3% sales growth and profit surge in H1

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Restaurant Brands New Zealand reported financial results for the six months ended June 30.

The company recorded group store sales of NZ$687.2 million ($632.5 million), marking a 7.3% increase from the previous year.

Restaurant Brands also reported a net profit after tax of NZ$12.6 million ($11.6 million), a significant improvement on their first half 2023 results, alongside a group store EBITDA of NZ$94.6 million ($87.1 million), which is an increase of 20.8%.

The total number of stores, both owned and franchised, now stands at 506 of which 378 are owned and 128 are franchised. Four new stores were added during the first half of 2024.

The growth was primarily driven by the performance in New Zealand and Hawaii.

In New Zealand, store sales recorded growth to NZ$309.6 million ($285 million), up 13.7% a year earlier. In Australia, store sales came to $139.6 million, down 0.5% in the first half of 2023 as the region is facing an adverse economic environment that continues to impact customer demand.

In Hawaii, store sales were US$84.3 million ($124.2 million), while store sales in California came to US$53.6 million ($79 million).

"We are proud to observe that our strategy is delivering good results," said RBD Chairman, José Parés.

He attributed the positive results to strategic initiatives such as cost control measures and operational efficiencies, which helped offset rising labour costs and consumer pressures.

CEO Arif Khan added, "The group is expanding its store portfolio, investing in technology, and disrupting its brand offerings to deliver winning, digital-first brands to customers and strengthen revenue streams."

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