Gloria Jean's Coffees owner the Retail Food Group has lifted first-half profit by 17.3 per cent to $33.5 million, thanks to sales growth from its cafes and bakeries, and to strong earnings from its latest acquisition.
The group, which also owns the Donut King, Crust Pizza, Brumby's Bakery and Michel's Patisserie brands, said strong earnings from food distribution business Hudson Pacific Corporation (HPC), acquired in August, contributed $34 million to its underlying revenue.
In the six months to December 31, the group's underlying revenue rose to $161.9 million, from $148.3 million in the prior corresponding period, while revenue from total operations rose 4.9 per cent to $175 million.
Its underlying franchise operations' earnings - before interest, tax, depreciation and amortisation (EBITDA) - which excludes its food distribution business, grew 5.2 per cent to $47.7 million with total same store sales up 1.4 per cent.
Growth from the group's bakeries and cafes offset a slight decline in same store sales from its quick service restaurants Crust Pizza and Pizza Capers.
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RFG shares in had risen 34.5 cents, or 5.6 per cent, to $6.525 by 1126 AEDT.
RETAIL FOOD HEADLINE RESULTS:
* Net profit up 17.3pct to $33.5m
* Revenue up 4.9pct to $175m
* Interim fully franked dividend of 14.75 cents, up 1.75 cents
