- Jollibee Foods Corporation is planning to open 500 new stores in several countries this year
- 250 to 300 of the new stores will be located in the Philippines while the rest will be outside the country
- Internationally, JFC will focus on its Highlands Coffee brand in Vietnam
Jollibee Foods Corporation (JFC) is planning to spend P12 billion in capital expenditures (CapEx) for its global expansion initiative this year. It plans to build 500 new stores and commissaries here and abroad.
As per Business World Online, P7 billion of the planned of the P12 billion CapEx will be used to build new stores while the rest will be spent for the commissaries.
Jollibee CEO Ernesto Tanmationg said the Philippine peso’s weakness against the U.S. dollar will boost profits of Jollibee’s overseas business, even as it increases costs domestically.
“The business had shown resilience in the past and we expect it to continue to do so. We expect revenues and profit to continue to at least sustain its historical growth rates in 2018 and in the years ahead,” he said.
JFC chief finance officer Ysmael Baysa said of the 500 new stores, 250 to 300 will be located here in the Philippines and rest outside the country. For the news stores overseas, the largest number will be in China and Vietnam.
Baysa said they will focus on its Highland Coffee brand in Vietnam, which is reportedly the number one coffee chain in that country.
Vietnam is growing fast and it has a young population and both Jollibee Vietnam and Highlands Coffee are growing very well, according to JFC Chairman Tancaktiong.
“We have an aggressive expansion of Highlands Coffee in Vietnam. Highlands Coffee is already the number one chain in Vietnam and we expect the Philippines to follow. We are very excited with Vietnam because it will be a large consumer country because of the population and there is a lot more room to grow,” Tancaktiong said.
The company expects to have a total store network of 4,200 across all brands by the end of 2018.