Max’s Group dropped Q1 sales with a net loss of P169.28 million as a result of the COVID-19 pandemic quarantine measures.
Compared to a net income of P138.6 million during the same period in 2019, Max’s Group told the stock exchange on Wednesday. Systemwide sales, comprised of sales generated by both company-owned and franchised stores, decreased by 12.9 percent year-on-year to P3.99 billion during the first quarter.
“We anticipate that this trend will continue through the second quarter as well. Despite our conservative outlook, we are gradually making progress as we mindfully re-open more locations across our network,” said Max’s Group President and CEO Robert Trota.
“With the safety of all our stakeholders as a top priority, we have ensured that security and health protocols remain bolstered at every aspect of our business. The cumulative impact of temporary store closures, dine-in restrictions and various fixed costs have resulted in a swift reversal from last year’s performance. We anticipate that this trend will continue through the second quarter as well. Despite our conservative outlook, we are gradually making progress as we mindfully re-open more locations across our network,” Trota added
Max’s Group said that it will put on hold roll-out plans for new stores this year due to losses from the coronavirus lock-down. “Our goal is to successfully execute strategic shifts to thrive within the new normal,” according to chief operating officer Ariel Fermin.
The company operates Max’s Fried Chicken, Yellow Cab, Krispy Kreme , Pancake House, Dencio’s and Jamba Juice. Max’s Group said it so far reopened 573 stores, equivalent to 76 percent of its chain. Menus were reworked to optimize inventory and cater to the take-away and delivery markets. More..
Max’s Group, Inc. is listed in the Philippine Stock Exchange as $MAXS. The stock price closed at 6.04 down -4.13% as of June 10, 2020 with total value traded at 6.95M.
-Stockbytes PH, June 10, 2020
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