The head of KFC eating places in Australia maintains the fast-food chain is dedicated to worth and gained’t be rising menu costs within the fast future regardless of inflationary pressures.
“KFC’s continued market leadership in value, quality and taste metrics has validated its strategy to prioritise long-term brand health over short-term margin pressures,” mentioned Collins Foods managing director and chief govt Drew O’Malley in a launch to the ASX on Tuesday.
“We recognise that today’s consumers are facing unprecedented conditions, and by keeping menu prices highly competitive, we continue to re-earn the trust that consumers have built in the KFC brand.
“We will continue to ensure that KFC is synonymous with value as we move into an even more challenging retail environment, attracting customers trading down from more expensive options and re-engaging light and lapsed users.”
The feedback come as Collins Foods, which additionally function Taco Bell in Australia, reported income for the yr to April 30 of $1.348bn, an increase of 14.1 per cent.
However, full-year web revenue dropped 76.7 per cent to $12.746m.
“Inflationary pressures are still a very real part of our landscape,” Mr O’Malley mentioned.
“While some commodities are stabilising, there can be a lag before some of this flows through to input costs, and we expect margin pressures to persist for much of (the year to April 30, 2024).
“Though we certainly have a strong program of initiatives in place to address this … we will continue to manage this business for the long term, prioritising brand health via providing exceptional value for consumers, which we believe will become even more critical in the year to come.”
Mr O’Malley acknowledged that Australians continued to wrestle with value of dwelling pressures off the again of 12 rate of interest rises prior to now 13 RBA board conferences.
Collins Foods operates 272 KFC shops in Australia and 64 in Europe.
Source: www.perthnow.com.au
