Johannesburg - Spur Corporation [JSE:SUR] advised Tuesday
that it increased restaurant sales across its brand portfolio by 17.5% in the
six months to end-December 2012‚ with restaurant turnover exceeding R2.4bn for
Sales from existing outlets were 12.8% higher.
Restaurant sales in South Africa increased by 16.5% for the
six month period‚ while sales in the international operations were 26.4% higher
in rand terms‚ it said in a trading update.
Sales in Spur Steak Ranches locally increased by 16.5%‚ with
turnover from existing restaurants up 13.7%. The strong growth was driven
mainly by the continued success of the Spur Family Card loyalty programme‚
aggressive marketing and the momentum built in the breakfast market‚ the group
Panarottis Pizza Pasta lifted local restaurant sales by
30.6% as the brand benefited from a renewed focus on its core products of pizza
and pasta. An improved family offering‚ the refurbishment of several outlets
and the upgrading of kids’ play facilities have all contributed to the
excellent sales growth.
Turnover from existing outlets increased by 19.7%.
Sales in John Dory’s Fish Grill Sushi restaurants locally
grew by 11.9% and by 9.7% in existing stores.
DoRego’s‚ the value-oriented franchise takeaway chain‚ was
only acquired by the group with effect from 1 March 2012 and therefore does not
report a comparative sales performance. DoRego’s offers chicken‚ seafood and
burger s to the fast-growing lower to middle income market and has a strong
presence in the Free State‚ Gauteng and Eastern Cape.
Chief executive Pierre van Tonder‚ said: "We have
continued our aggressive promotions strategy and focused on the group’s core
strengths of quality‚ good value and innovative marketing to gain market share
in the highly competitive family sit-down restaurant market".
He said retail sales figures from Statistics SA showed an
increase of only 0.9% in October and 3.4% in November 2012‚ highlighting the
increasing pressure on consumer spending.
"It is therefore particularly pleasing to report such
strong growth across our brands in this challenging environment and to continue
to attract increasing volumes of customers."
Spur also reported robust festive season
trading‚ with restaurant turnover growing by 16.2% for the month of December.
In South Africa‚ Spur Steak Ranches‚ which accounts for approximately 80% of
the total South African sales‚ increased turnover by 14.6%. Panarottis Pizza
Pasta grew sales by 33.2% and John Dory's by 11.3%. International restaurant
sales increased by 25.3%.
Spur’s interim results will be released on 7 March 2013.
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