Metro Manila, Philippines, May 9, 2023 – Jollibee Foods Corporation (PSE: JFC) – Financial Results for the First Quarter Ended March 31, 2023

Jollibee Foods Corporation (JFC), one of the largest Asian food service companies, today reported its financial results of operations for the first quarter ended March 31, 2023, based on its Unaudited Consolidated Financial Statements.

JFC CEO, Ernesto Tanmantiong gave the following statement on JFC’s first quarter performance:

“Our first quarter financial results reflected continued strong momentum, delivering another quarter of strong topline and operating income growth. System wide sales (SWS) and revenues for the quarter rose by 31.1% and 28.5%, respectively while operating profit grew by 80.9%.

We delivered strong operating profit growth despite continued macro challenges. We remain focused on navigating through these uncertainties and are confident in our ability to deliver another year of strong growth.”

First Quarter Financial Highlights

Note: The Q1 2022 EBITDA, net income and EPS include Php1.8B one-off gain from land conveyance and sale of other properties.

Consolidated revenues grew by 28.5% for the quarter. System wide sales, a measure of all sales to consumers, both from company owned and franchised stores grew by 31.1% in Q1 2023 compared to Q1 2022.

First quarter SWS in the Philippines grew by 36.7% and International SWS grew by +23.3% with China growing by +20.7%, North America +20.2%, EMEAA +20.0%, The Coffee Bean and Tea Leaf (CBTL
+18.7%), SuperFoods +28.5% and Milksha +182.6%.

First quarter same store sales (SSS) in the Philippines grew by 31.6% driven by improvement in volume or transaction count (+17.3%) and increase in average check (+12.2%). International SSS% grew by 8.8%, led by SuperFoods (+21.6%), China (+12.5%), EMEAA (+8.6%), CBTL (6.7%) and North
America (+6.7%).

At the end of March 2023, JFC operated 6,542 stores worldwide: Philippines (3,281) and International (3,261).

JFC’s Operating Income for the quarter was Php3.6 billion, an increase of 80.9%, resulting in an operating income margin improvement of 190 bps (Q1 23: 6.5%; Q1 22: 4.6%). JFC’s Gross Profit margin expanded from 16.1% in Q1 2022 to 18.2% in Q1 2023 driven by a 280 bps improvement in store and manufacturing costs, partially offset by an 80 bps increase in cost of inventory due to higher raw material and supply chain costs.

Other Income for Q1 2023 was Php311.1 million, a decrease of Php1.4 billion or 81.8% compared to Q1 2022 mainly due to a Php1.8 billion gain on land conveyance and sale of other land properties in Q1 2022. As a result, net income attributable to equity holders of the Parent Company declined by 10.6% to Php2.1 billion. Earnings per share (EPS) likewise declined by 11.8% to Php1.749. Excluding the impact of the one-off gain in Q1 2022, net income attributable to equity holders of the Parent Company and EPS grew by 331.9% and 431.2%, respectively.

JFC Chief Financial Officer, Mr. Richard Shin gave the following statement:

“We remain focused on continued improvement in our business fundamentals, which resulted in sustained gross profit margin expansion and significant growth in underlying profit performance. We are confident in our ability to execute our strategies and deliver our financial goals for 2023.”

Corporate Actions

The JFC Board of Directors approved on April 17, 2023, the declaration of a regular cash dividend of Php1.07 per share of common stock for all shareholders of record as of May 3, 2023. Payment date will be on May 22, 2023.

Forward-Looking Statements Disclaimer

The foregoing disclosure contains forward-looking statements that are based on certain assumptions of Management and are subject to risks and opportunities or unforeseen events.