MANILA, Philippines – Local fastfood giant Jollibee Foods Corp. (JFC) has budgeted around P5.8 billion for capital spending this year as it continues to grow its network throughout the country and in China.
In a disclosure to the Philippine Stock Exchange yesterday, JFC said about half of the programmed budget would be used to boost its store count by 125 in the Philippines and 100 in China.
As of Jan. 31, 2012, the group had a total branch network of 2,466 worldwide.
In the Philippines, JFC had a combined store network of 1,997 under its flagship brand Jollibee, Chinese fastfood Chowking, pizza chain Greenwich, cake shop Red Ribbon, grilled chicken outlet Mang Inasal and newly-acquired Burger King franchise.
Overseas, the group had a total of 469 stores.
This year’s capital expenditure will be slightly lower than the P6 billion spent in 2011 for new new store openings and supply chain facilities as well as acquisition of new businesses.
The group, through wholly-owned unit Jollibee Worldwide Pte. Ltd., completed last week the acquisition of 55 percent of Guangxi San Pin Wang, a noodle joint in South China.
San Pin Wang, which has 34 stores serving high quality but low-priced noodles to consumers mostly in Nanning City in Guangxi province, registered sales of 110 million renminbi in 2011.
JFC already owns and operates two businesses in China-Yonghe King (which was acquired in 2004) and Hong Zhuang Yuan (2008).
As of Jan. 31 this year, Yonghe King and Hong Zhuang Yuan had a combined store network of 319, which accounted for 11 percent of the group’s worldwide systemwide sales.
JFC also has a 70-percent interest in Jollibee Foods Processing Ptd. Ltd., a commissary in Shucheng, Anhui province.