This was the second year with such fast-paced growth but the business of the fast-food chain has been on the rise every year regardless of the state of the economy. Therefore, the revenue of US Food Network, which controls the over 60-restaurant KFC chain went up from RON160 million in 2011 to RON405 million last year.
The significant growth comes at a time of consumer spending rise, driven by the fiscal relaxation steps on the one hand, and by wage raises on the other. Moreover, the constant expansion of the network played a major role. It continues in 2017, as well, with the group already announcing plans for the KFC brand, at least five restaurants, to come close to matching the 70 McDonald’s, the local market leader, has. If it keeps growing like this, KFC will go beyond EUR100 million revenue in 2017.
KFC is not just one of the biggest operators in the industry, but also one of the most profitable, with a 11% profit margin, down from 13% in 2015.
KFC is operated as a franchise in Romania and is part of the same group of restaurants as Pizza Hut and Paul. The group ended last year with more than RON640 million revenue, up 25% on the previous year.
(English version by Loredana Fratila-Cristescu)