Retail Food Group reports slow but steady sales recovery
Retail Food Group (RFG), the listed multibrand food chain franchisor, says customer counts across its networks are up by an average of 10.1 per cent on year during the second half of this financial year.
Coffee brands with a high presence in shopping centres showed the highest growth, with Michel’s Patisserie up by 17.3 per cent, Gloria Jean’s by 14.2 per cent, and Donut King by 13.4 per cent.
Sales are up by around 2.2 per cent however the average transaction value is up by 7.8 per cent.
The sales performance of its pizza businesses like Crust and Pizza Capers were described as “satisfactory”.
RFG executive chairman, Peter George, said a “positive growth trend” can be seen as customers return back to stores.
“The various positive indicators observed across the group’s business during the 2H22 provides confidence that RFG continues to tread the right path in its turnaround journey, although with a clear appreciation of the challenging trading environment that continues to exist.”
He added the company is managing inflationary pressures on its supply chains though it seems to have very little impact to date.
Overseas, the company has opened 37 new outlets following gradual improvement in trading conditions post-Covid, however most of those openings were offset by closures, with the company expecting to end the financial year next week with a net gain of five stores.