Shakey’s Pizza Asia Ventures, Inc. (SPAVI), a leading food service group in the Philippines, reported a 16 percent annual increase in system-wide sales (SWS) for the third quarter of 2024, reaching P5.4 billion. Despite flat profits due to ongoing investments in expansion and brand-building, the company remains optimistic about its full-year prospects, expecting double-digit net income growth driven by easing input costs and the seasonal uplift in Q4.
For the quarter, same-store sales growth (SSSG) accelerated to 4 percent, up from 3 percent in Q2 2024. Year-to-date, SWS reached P15.5 billion, a 15 percent increase from the same period last year. SPAVI also continued its aggressive expansion, opening 342 new stores in the first nine months, bringing the total to 2,483 locations, with 15 percent of the network now operating internationally.
Gross profit for Q3 2024 grew 9 percent to P853 million, while operating expenses rose by 20 percent due to the ongoing store investments. Despite this, operating expenses as a percentage of sales remained stable, allowing the company to maintain net income after taxes (NIAT) at P250 million.
SPAVI president and CEO Vicente Gregorio emphasized the company’s commitment to growth and value delivery through menu innovations, including the Shakey’s Hero Sandwich and the Peri Flavor Adventure Box. Potato Corner (PC), another SPAVI brand, has made notable strides in expanding internationally, opening approximately 90 new units in markets like Thailand, Singapore, and Canada.
The group also continues to enhance its store experience with a major refresh initiative and is on track to open over 450 new outlets in 2024. Year-to-date capital expenditures have surged to nearly P900 million, driven by store renovations and new openings.
Looking ahead, SPAVI is confident that these investments will support a stronger Q4 performance, with favorable economic conditions and the holiday season expected to drive growth. The company also focuses on sustainability and social responsibility, with initiatives like “Love ‘Em Down” supporting job opportunities for individuals with Down Syndrome and the Shakey’s Super League fostering sports development for young women.
For its corporate governance efforts, SPAVI was recognized with two Golden Arrows at the ASEAN Corporate Governance Scorecard Awards 2024.
Gregorio said, “2024 has been a year of investment and renewal, setting the stage for continued growth as we prepare for our 50th anniversary in 2025.”
