Food

Grimacing: McDonald’s PH posts P1B loss, shuts down 21 stores in first 9 months of 2020

Golden Arches Development Corp., the local franchise holder of global fastfood giant McDonald’s, sunk deeper in red ink despite easing of lockdown measures in the third quarter of 2020.

Golden Arches,a 51-49 partnership between bilyonaryos George Yang and Andrew Tan, reported a net loss of P1 billion in the first nine months this year from a P1.2 billion during the same period last year. GADC’s net loss of P300 million in the third quarter is nearly 50 percent of the P700 million loss it incurred in the first six months of 2020.

Revenues dropped 38 percent to P14.3 billion from January to September this year from P23.2 billion a year ago.

“The low results were the effects of the longstanding quarantine restrictions (in different phases) nationwide that cut customer visits in the stores and put constraints in operations and customer spending,” Golden Arches said.

Golden Arches closed a total of 21 stores in the first nine months (15 stores in the third quarter) due to “underperformance.” With 10 new stores opened, total number of McDonald’s restaurants were pegged at 658 as of end-September.

0 0 vote
Article Rating
Subscribe
Notify of
guest

This site uses Akismet to reduce spam. Learn how your comment data is processed.

0 Comments
Inline Feedbacks
View all comments
0
Would love your thoughts, please comment.x
()
x