Restaurant Brands reports record sales, faces inflation pressures

Restaurant Brands New Zealand Limited has reported its half-year results for FY23.

Total Group sales reached a record high of $640.2 million, with a net profit after tax of $2.2 million.

Store development continued, with 10 net new stores added to the network in the past year.

However, the company faced significant inflationary pressures, particularly in rising ingredient and wage costs, which impacted overall performance.

The company implemented price increases and cost control measures but was unable to fully offset the cost increases without impacting transaction volumes.

Despite these challenges, Restaurant Brands remains confident in its ability to deliver long-term shareholder value and plans to monitor price increases and implement a revenue and margin improvement program in the second half of 2023.

The company expects NPAT for the full year to be in the range of $12 million to $16 million.