Restaurant Brands New Zealand posted a 32 per cent gain in second-quarter sales, with the bulk of the increase coming from the 42 KFC stores in New South Wales acquired in April.
Sales rose by $38.6 million to $159.5m in the 16 weeks ended September 12, the Auckland-based company said in a statement. Same-store sales, which are those for outlets open at least 12 months, rose 2.1 per cent to $120.3m.
The fast-food company made its first foray across the Tasman with the acquisition of the biggest KFC franchisee in NSW for A$82.4m (NZ$85.2m) made up of A$62m (NZ$64.12m) in cash and five million shares, which gave vendor Copulos Group almost 5 per cent of the company with a 12-month escrow on trading the stock. Investors cheered the deal, pushing the shares up 36 per cent since it was announced on March 4. They gained 0.9 per cent to $5.70 today.
Total sales for KFC New Zealand rose 3.7 per cent to $92m, while the number of stores fell by one to 91. Pizza Hut sales fell 9.1 per cent to $12.9m as the company sold seven stores to independent franchisees, reducing total outlets to 37. Franchisees now own 53 of the 90 stores in the Pizza Hut network.
Starbucks Coffee sales edged up 0.1 per cent to $7.8m, although with one less store at 25, same-store sales gained 4 per cent. Hamburger chain Carl's Jr, the company's newest brand, recorded a 10 per cent gain in sales to $11.4m as the number of stores rose by two to 20. Same-store sales fell 4.4 per cent.
