Alsea doubles its profit due to the recovery in consumer spending and double-digit growth in Spain
The recovery is also consolidating at Alsea, the leading restaurant group in Spain and Portugal. The Mexican multinational doubled its global profit for 2022 to 1,757,472 million pesos (90.2 million euros at the current exchange rate). The improvement is the result of a positive trend in sales, commercial strategies, product innovation, development of digital solutions and greater efficiency in cost control.
According to data published by Alsea, it achieved revenues of 68,831,305 million pesos worldwide (3,535 million euros). This figure represents a growth of 28.9% compared to the same period in 2021, and an improvement of more than 10% compared to 2019, a benchmark year for the restaurant sector.
The group, which controls Domino’s Pizza, Foster’s Hollywood, Vips and Starbucks in Spain, explained that the increase in sales was due to the recovery in consumption, the implementation of commercial strategies and the opening of new units.
Alsea Europe’s sales represented 31.9% of the group’s consolidated business.
Alsea Europe’s sales represented 31.9% of the group’s consolidated business. The European market is made up of operations in Spain, Portugal, France, Holland, Belgium and Luxembourg. This segment presented an increase in sales of 19.3%, reaching 1,130 million euros (21,975 million pesos) compared to 947 million euros the previous year.
This increase is related to the factors listed above, as well as to customer preference for the brands in the company’s portfolio and the normalisation of consumption trends in the countries of the region. This is despite a slight slowdown in the first weeks of the year in some countries due to caution over the omicron variant, which was counteracted during the remaining three quarters of the year.
On the other hand, Alsea closed the year with a result of 46.9 million euros in Europe, so that it already generates more than half of its combined profits.
Food delivery sales accounted for 17.7% of Alsea Europe’s business in 2022, representing an amount of around 200 million euros (3.9 billion pesos) and more than 9 million orders.
By markets, the strong performance in Spain was once again noteworthy, where Starbucks experienced 45.9% growth last year. Likewise, during the last quarter, VIPS’ turnover increased by 20.8% in our country, while in the fast food segment, sales in Domino’s Pizza and Burger King shops increased by an average of 8.9%.
At the end of 2022, Alsea had 1,098 units in Spain, with Domino’s Pizza as its main brand through 372 establishments. Within this figure, around 20% corresponds to franchises, a proportion that it intends to increase through a project to incorporate new outlets to its network by franchising pizzerias currently in operation. The second brand with the largest presence in Spain is Starbucks, with 152 outlets, followed by Ginos (119) and VIPS (116) and Burger King (55).
