'We are pleased with the results and customers have responded positively'-Spur
As South Africa's Covid-19 vaccination preparations build-up, the Spur Corporation has issued its annual financial results for the fiscal year ending June 30, 2021, and the firm is hopeful about 2022. Revenues decreased by 10.5 percent to R681 million. For the first eight months of the financial year, this was due to lower sales in company-owned restaurants and concessions made to franchisees on franchise and marketing costs.
Spur Corporation CEO Val Nichas mentioned that Spur's first Drive Thru which was opened in Pretoria in June 2021 together with its virtual kitchen brands, that operate from a remote kitchen facility without a storefront have since gained traction and generated turnover comparable to the group's smaller brands.
The second half was a significant improvement, and we were very pleased with the results. Obviously, this is due primarily to the Spur brand and Rocomamas at a group performance of 13% growth. It was parallel to the lockdown levels, and as soon as the lockdown levels were relaxed, we saw customers return to the restaurant.Val Nichas, CEO - Spur Corporation
We had nearly 4 months of relatively improved lockdown regulations, which allowed for decent trade-ins until the end of June when we went back to lockdown level 4.Val Nichas, CEO - Spur Corporation
At the moment, the drive-thru is a proof-of-concept format that has been in operation for three months. We are very pleased with the performance; it has exceeded our expectations, as consumers have responded positively.Val Nichas, CEO - Spur Corporation
The virtual kitchen brands were introduced during the tough lockdown, so this is definitely a channel that will continue to grow as consumers enjoy the convenience.Val Nichas, CEO - Spur Corporation
In the 2022 financial year, the group plans to open 32 new restaurants in South Africa and seven abroad, in line with its refocused strategy of dominating with brands leading the experience.
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This article first appeared on 702 : 'We are pleased with the results and customers have responded positively'-Spur
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