Prestige earns $2 million in profit

PRESTIGE HOLDINGS owners of KFC, Subway, Pizza Hut, TGI Fridays and Starbucks TT, recovered from losses in 2021 to make just over $2 million in profit for the first quarter of 2022.

In its unaudited consolidated financial report for the first quarter of the year up to February 22, the fast-food franchise-holders posted revenue of $245,378,000, a five per cent increase as compared to the first quarter of 2021.

But cost of sales, operating expenses and administrative expenses ate up profits, leaving $5,848,000 in profits before tax. Taxes reduced the profits to $2,012,000.

For the first quarter in 2021 Prestige operated at a loss of $2,653,000. For the year up to November 2021 it operated at a loss of $28,302,000.

Chairman Christian Mouttet said Prestige was pleased to return to profitability and had a positive outlook on the future despite challenges stemming from worldwide shocks. Mouttet said despite the optimism, much work has to be done to return to pre-pandemic levels.

“The recent removal of covid19 restrictions is very positive for our industry and company and we look forward to opening our doors and welcoming our customers to our restaurants,” he said. “The disruption in global supply chains by the covid19 pandemic in the last year has been exacerbated by the Ukrainian war. This has caused significant food cost inflation and further disruptions to logistics and is expected to continue to challenge the global food industry for some time.”

Mouttet noted that Prestige finished the quarter with one less restaurant, having had to close the Subway restaurant at Lowlands, Tobago, but announced that it had been awarded development rights for the Starbucks brand in Guyana.

“As is the case with Trinidad and Tobago, we believe that the Starbucks brand has great long-term potential in Guyana.”

Prestige plans to open its first Starbucks in Guyana in the last quarter of the year. It also plans to open four new Starbucks in TT.