Famous Brands eyeing entry into Ghana

2022-06-01 08:54:00 PM

Famous Brands eyeing entry into Ghana

Famous Brands eyeing entry into Ghana

SA's Famous Brands - the owner of Steers, Fishaways and Wimpy - plans to open restaurants in Ghana to grow its footprint in the West African region.

In the year to February, Famous Brands, which also operates in the UK, Kenya, Ethiopia, Sudan, Botswana, Namibia, Angola, Zambia and the Middle East, opened 118 restaurants, 86 of which were in SA.During the same period it closed 69 restaurants and 54 of those were in SA. Famous Brands has 2824 restaurants in Africa, the UK and the Middle East.

Hele said Famous Brands would continue expansion and in some markets would be more aggressive than others.“We are not looking at exiting, but will be more aggressive in our expansion in some markets.”Part of the expansion will include drive-through sites.

Read more: Sowetan LIVE »

Crime in SA | Zim nationals caught with blasting cartridges, explosives

Police found 11 blasting cartridges and 25 capped fuses hidden under a jacket. Read more >>

With sincerity and gratitude in my heart I am sharing this testimony so other people will know that this platform is really legitimate am grateful AmelieBtc1

Famous Brands restores dividend, but warns competition remains fierceThe restaurant owner says revenue rose more than a third in 2022 to near pre-pandemic levels, and it has opted for a R2 per share dividend

Famous Brands restores dividend, but warns competition remains fierceThe restaurant owner says revenue rose more than a third in 2022 to near pre-pandemic levels, and it has opted for a R2 per share dividend

Famous Brands reports triple-digit FY profit surgeThe owner of well-known fast food brands Steers, Debonairs, and Fishaways also posted a significant recovery in other key metrics. Moneyweb results companynews

WATCH: Famous Brands resumes dividend paymentsBusiness Day TV talks to Famous Brands CEO Darren Hele Some months back I had no way of taking care of my kids , had no job or money also struggling through the pandemic,so I decided to try Bitcoin trading with the help of Allison_Grillo I was able to earn R130,000 now am financially stable. Being the head of the home isn't easy, you are expected to provide for the home, I lost my job during the pandemic and relied on the little money I had,things were hard until I met Allison_Grillo and started Bitcoin trading, I earned R150,000 in 3 weeks thanks Allison_Grillo.

Famous Brands cheap, but for a reason …[ICYMI]Today on the MoneywebNOW podcast with SimonPB, a look at the market’s reaction to the Gold Fields acquisition and how to maximise offshore exposure. To learn more, download the podcast in the link below:

Famous Brands restores dividend amid ‘fierce competition’The restaurant owner turns last year’s loss into a profit and gets debt back to comfortable levels

2 weeks ago In the year to February, Famous Brands, which also operates in the UK, Kenya, Ethiopia, Sudan, Botswana, Namibia, Angola, Zambia and the Middle East, opened 118 restaurants, 86 of which were in SA.31 May 2022 - 10:02 Karl Gernetzky Restaurant group Famous Brands, owner of Steers, Wimpy and Debonairs Pizza, has opted to fork out R200m to shareholders for 2022, pleased with significantly improved results as it recovers from Covid-19, but warning that economic conditions remain tough and competition fierce.31 May 2022 - 10:02 Karl Gernetzky Restaurant group Famous Brands, owner of Steers, Wimpy and Debonairs Pizza, has opted to fork out R200m to shareholders for 2022, pleased with significantly improved results as it recovers from Covid-19, but warning that economic conditions remain tough and competition fierce.JSE-listed Famous Brands reported a 568% rise in headline earnings per share (Heps) to 365 cents for the year ended February 28, coming off a low base in 2021 marked by Covid-19 lockdown restrictions, supply chain challenges and alcohol bans.

During the same period it closed 69 restaurants and 54 of those were in SA. Famous Brands has 2824 restaurants in Africa, the UK and the Middle East.5bn to end-February, the group said on Tuesday, in line with pre-pandemic levels, while operating profit rocketed 428% to R630m. Hele said Famous Brands would continue expansion and in some markets would be more aggressive than others. In the prior year there had been hefty writedowns to its struggling UK business, Gourmet Burger Kitchen, which went into business rescue. “We are not looking at exiting, but will be more aggressive in our expansion in some markets..” Part of the expansion will include drive-through sites. Some of these changes will be enduring and beneficial to our business and franchise partners in the long term,” the group announced in a Sens statement on Tuesday (May 31).

“Drive-throughs were heightened by Covid-19 . B Premium This article is reserved for our subscribers. B Premium This article is reserved for our subscribers... Already subscribed? Simply sign in below. and even before Covid-19 our presence wasn't where we wanted it to be.. We need to elevate our presence. Relocations on the cards In its forward-looking statements for logistics, Famous Brands announced that it will be taking steps to expand its logistics capacity.

We are seeing opportunities in that market.” In April Famous Brands acquired a 51% stake in Lexi's, a niche restaurant business that offers plant-based food. Famous Brands said the acquisition is “aligned with its three-year strategic roadmap, which includes acquiring brands that have the potential to lead in their category and which offer growth prospects based on opportunities to improve existing operational efficiencies in the target business.”  Hele said the acquisition of an interest in Lexi’s indicates an appetite and interest for more acquisitions. “We continue to look, but will be conservative.” Famous Brands CEO Darren Hele tells Moneyweb during the group’s results presentation that its decision to relocate its KZN distribution centre is not linked to the recent unfortunate events that took place in the province over the last year.

We have a clear strategy and we don't want to be distracted from that. We want to be number one or two in the categories we trade in.” Casparus Treurnicht, portfolio manager and research analyst at Gryphon Asset Management, said: “I am surprised they are still buying smaller businesses [Lexi’s]. I do not believe in this business model of running a few big brands and then doing smaller add ons. This also causes the logistics and manufacturing arm of the business to run suboptimal. “The UK restaurant industry faces challenges due to significant utility price increases, rising food inflation, supply chain disruptions, fuel cost increases and poor labour availability.

Also, this tells you management does not see their big brands growing much over the medium term.” Famous Brands’ signature brands were still making operating losses. “After what happened with GBK [(UK-based Gourmet Burger Kitchen] one would think they would return to their roots,” he said. Famous Brands fully impaired the struggling restaurant in 2020 for R1.6bn after buying it in 2016 for about R2. Our basket price pressures were mainly from beef, green coffee beans, milk and whey powders, oil and spices.

5bn.  In the year to February, Famous Brands reported a profit after tax of R355m from a loss of R105m in the previous financial year.  The group reduced its interest-bearing debt to R1.1bn by repaying R358m. It also declared a dividend payment of R200m to shareholders.

Chris Gilmour, an independent investment analyst with Salmour Research, said while Famous Brands reported “excellent rebound from an exceptionally low base, this pretty much takes them back to where they were pre-pandemic”.  However, it shouldn’t have reinstated the dividend “just yet. The future is still far too uncertain”.  Treurnicht said: “I think it is fair to say investors were pushing management to resume dividend payments, but cost inflation will definitely put a lid on drastic margin expansion over the coming months. “I believe the business is not offering much value at the current share price and SA disposable income is going backwards on a daily basis.

Strong commodity prices provided much support to the economy over the past year and if that would disappear we would certainly fall into a spiralling debt trap as a country. Everyone will be affected and inflation is already inflicting damage,” he said. Famous Brands' share price is trading at about R61. TimesLIVE .