• Net profit attributable to the Shareholders of the Parent Company stood at $80.0 million
  • 81 gross new store openings during first half of 2024, increasing the total Restaurant count to 2,477. 36 new restaurants under construction

Abu Dhabi and Riyadh: Americana Restaurants International PLC (“Americana Restaurants” or the “Company”) (ADX symbol: AMR/ ISIN: AEE01135A222) (Saudi Stock Exchange symbol: 6015), the largest out-of-home dining and quick service restaurant operator in the Middle East & North Africa (“MENA”) and Kazakhstan, today announced its financial results for the six months ended 30 June 2024.

The Company reported revenues of $1.05 billion, a decrease of 15.2% year-on-year. Revenue growth was impacted by lower like-for-like sales due to the ongoing regional geopolitical situation, despite support from new store openings.

Net profit (attributable to the shareholders of the Parent Company) for the first half of 2024 was $80.0 million. Net profit was impacted due to lower sales, and incremental depreciation charges on account of new store openings during the period.

In Q2 2024, compared to Q2 2023, revenue declined 14.2%. However, compared to Q1 2024, the Company observed 13.3% growth in revenue, on account of recovery seen in some of its markets, fewer Ramadan days, further supported by both Eid events falling in the second quarter. Similarly, net profit declined 40.1% compared to Q2 2023, however, net profit increased by 85.3% compared to Q1 2024.

Business Resilience Amid Market Challenges

Despite implementing value-based promotions as a strategic effort to drive transaction momentum, gross margins improved in Q2 2024 driven by favourable commodity prices and procurement and revenue management initiatives.

Furthermore, the Company continued to expand its restaurant network by selectively expanding in less impacted markets and opened 81 gross new stores in the first half of 2024, bringing its total restaurant count to 2,477 as of 30 June 2024.

Financial Highlights

$ millions

H1 2024

H1 2023

Change %

Revenue

1,052.8

1,241.5

(15.2%)

Adjusted EBITDA

232.7

291.7

(20.2%)

Adjusted EBITDA Margin (%)

22.1%

23.5%

 

Net Profit (attributable to the shareholders of the Parent Company)

80.0

144.8

(44.8%)

Adjusted Free Cash Flow

44.1

110.9

(60.2%)

Earnings per Share ($)

0.0095

0.0172

(44.8%)

Balance Sheet & Cashflow

Americana Restaurants maintains a healthy balance sheet and a strong financial position. With an adjusted free cash flow of $44.1 million for the first half of 2024 and a cash conversion ratio of 33.4%, the Company is well-positioned to meet its growth plans together with supporting its dividend policy.

Management Outlook

Americana Restaurants is strategically positioned for progressive expansion within its operational territories. However, in consideration of the evolving geopolitical environment, the Company has opted for a watchful approach to store expansion plans and expects to add 175 – 185 net new restaurants in 2024.

Additionally, the Company will continue to focus on revenue recovery initiatives such as smart pricing, targeting, promotion and marketing, with a sharp focus on driving transactions along with increasing marketing investments.

Further, the Company continues to do store-level and G&A platform optimization including enhancing sourcing efficiencies.

Earnings Conference Call

A conference call to present earnings, followed by a Q&A session, has been scheduled for Thursday, 1 August, 2024 at 17:00 (GST) / 14:00 (BST) / 9:00 (EDT). The call will be hosted by Amarpal Sandhu (CEO), Harsh Bansal (CFO & CGO) and Sonika Sahni (Head Investor Relations). Interested parties are invited to join the call by clicking here.

About Americana Restaurants

Americana Restaurants is the largest out-of-home dining and quick service restaurant (QSR) operator in its 12 countries of operation across the Middle East, North Africa and Kazakhstan.

The Company’s historic IPO on the Abu Dhabi Securities Exchange (ADX) and the Saudi Exchange in 2022 marked the region’s first-ever concurrent dual-listing. Today, Americana Restaurants is a leading master franchisee and a food and beverage pioneer with decades-long heritage, an extensive geographic footprint, long-standing franchisor relationships and a diverse restaurant portfolio that spans the full out-of-home dining spectrum from QSR to fast casual, coffee and indulgence.

The Company’s portfolio includes a range of iconic global brands, including KFC, Pizza Hut, Hardee’s, Krispy Kreme, Peet’s Coffee, Wimpy, TGI Friday’s, Costa Coffee and Baskin Robbins. Americana Restaurants’ customer-centric restaurant platform, which includes 20 proprietary SuperApps, allows customers to experience their favourite global restaurant brands and meals when they want, where they want and how they want.

For more information, please visit: www.americanarestaurants.com

Contact
Investor Relations
Sonika Sahni
Investor.Relations@americanarestaurants.com

Media
Hayan Alshadaydeh (MSL Group)
+971 50 4882460
Hayan.alshadaydeh@mslgroup.com