Collins Foods Ltd
ASX:CKF
Collins Foods Ltd
Collins Foods Ltd. engages in the operation of restaurants and food service retail outlets. The company is headquartered in Brisbane, Queensland. The company went IPO on 2011-08-04. The firm comprises three restaurant brands: KFC, Taco Bell, and Sizzler in Asia. The company operates through three segments: KFC Restaurants Australia, KFC Restaurants Europe and Taco Bell Restaurants. The firm operates approximately 251 franchised KFC restaurants in Australia, approximately 17 franchised KFC restaurants in Germany, approximately 29 franchised restaurants in the Netherlands and approximately 16 franchised Taco Bell restaurants in Australia. The company is also a franchisor of the Sizzler brand in South East Asia with approximately 64 franchised restaurants in Thailand and Japan.
Collins Foods Ltd. engages in the operation of restaurants and food service retail outlets. The company is headquartered in Brisbane, Queensland. The company went IPO on 2011-08-04. The firm comprises three restaurant brands: KFC, Taco Bell, and Sizzler in Asia. The company operates through three segments: KFC Restaurants Australia, KFC Restaurants Europe and Taco Bell Restaurants. The firm operates approximately 251 franchised KFC restaurants in Australia, approximately 17 franchised KFC restaurants in Germany, approximately 29 franchised restaurants in the Netherlands and approximately 16 franchised Taco Bell restaurants in Australia. The company is also a franchisor of the Sizzler brand in South East Asia with approximately 64 franchised restaurants in Thailand and Japan.
Record Revenue: Collins Foods achieved its highest ever first half revenue at $750.3 million, up 6.6% compared to last year.
Profit Growth: Underlying NPAT increased by 29.5% to $30.8 million, while underlying EBITDA rose 11%.
Margin Expansion: Margins improved, with group EBITDA margin up 59 bps and KFC Australia margins up 80 bps.
Debt Reduction: Net debt fell by $20 million to $138.9 million, enhancing investment capacity.
Dividend Increase: The interim dividend was raised to $0.13 per share, up $0.02 from the prior period.
Guidance Upgrade: Full year underlying NPAT growth target was raised to the mid- to high teens percentage range, up from low to mid-teens.
Operational Focus: Management emphasized sustained investment in operational excellence, digital, and product innovation across markets.
Margin Pressures: While Australia expects margin contraction in H2 due to seasonal and inflationary pressures, Europe is set to benefit from easing poultry costs and a VAT reduction in Germany.
