Café de Coral Group reports HK$4.2 billion revenue growth for H1 2019
The group aims to continue in improving customer experience and expand in Hong Kong and China.
Café de Coral Group has announced their financial results for the six months ended September 30 with a 1.7% revenue increase to HK$4.2 billion from HK$4.1 billion last year at the same period.
Attributable profits came at HK$239.1 million, a 16.2% increase from HK$205.7 million last 2017.
“The overall outlook for the food and beverage industry remains competitive,” the group said in an announcement.
They also stated that customers are starting to eat out of home more often, while becoming more selective and price-sensitive. They cited labour shortages as a challenging area during the period.
“Although the Hong Kong Government’s newly introduced minimum wage requirements will pose a challenge, the Group is confident that we can continue to drive positive growth in performance,” they added.
The operations Hong Kong resulted in a 0.8% rise in revenues to HK$3.61 billion from HK$3.58 billion last year. China operations showed a 7.7% growth to HK$590.7 million from HK$548.3 million.
Their QSR and Institutional Catering segment, which contributed 73% of the group’s overall revenues, has declined by 0.4% to HK$3.06 billion from HK$3.08 billion. The group said that the consolidation within the branch network has dragged it down.
Their Café de Coral brand has reported 2% same store sales growth while Super Super Congee and Noodles saw a 1% increase.
Meanwhile, their Casual Dining segment’s revenues grew 9.5% to HK$461.9 million from HK$422.0 million last year. Their Spaghetti House, Oliver’s Super Sandwiches, Shanghai Lao Lao and Mixian Sense are said to have ended the period with positive results.
Their other segments such as their Luncheon Star and O2O food delivery platforms had their revenues rise by 1.7% to HK$4.2 billion.
(Photo credit: Cafe de Coral Facebook)
