Americana Restaurants Achieves $2.41 Billion Revenue in 2023 Amidst Expansion

Americana Restaurants International PLC, along with its subsidiaries, has recently disclosed its financial outcomes for the fiscal year ending on 31st December 2023. The company has reported a revenue of US$2,413.1 million for FY 2023, marking a 1.5 percent increase from the previous year. This growth is attributed to a significant expansion strategy that included the opening of 300 new stores. Despite facing challenges such as unfavourable foreign exchange movements, particularly in Egypt, and disruptions due to geopolitical tensions in the fourth quarter, Americana Restaurants showcased a resilient performance.

The adjusted EBITDA for the company saw a rise to US$550.8 million, up by 2.8 percent year-on-year, with an adjusted EBITDA margin standing at 22.8 percent. Net profit attributable to the shareholders of the parent company slightly increased by 0.1 percent, resulting in a net profit margin of 10.8 percent. This increment is largely due to operational efficiencies and improvements in gross margin, even though the company faced higher depreciation charges amounting to US$32.8 million due to the new store openings and a lower revenue impact on Q4 earnings.

In terms of investment in growth, Americana Restaurants allocated US$167.9 million or 7.0 percent of its revenues towards gross capital expenditures. This investment facilitated the opening of 300 new restaurants, expanding the total store count to 2,435 by the end of 2023. The expansion not only broadens the company's reach but also introduces renowned brands to new markets.

Furthermore, Americana Restaurants has ventured into the premium coffee market by launching Peet's Coffee stores in the UAE and Saudi Arabia. This strategic move aims to capitalize on the increasing demand for premium coffee in these regions.

Reaffirming its commitment to shareholder value, Americana Restaurants announced an ordinary dividend for 2023 of US$130 million (equivalent to US$0.0154 per share), in line with its previous guidance. Additionally, a one-time special dividend of US$50 million (equivalent to US$0.0059 per share) has also been declared. The dividends are subject to approval by shareholders at their Annual General Meeting, the date of which will be announced later.

This financial report underscores Americana Restaurants' ability to navigate through challenging economic conditions while continuing its growth trajectory through strategic expansions and operational efficiencies.

With inputs from WAM