Retail Zoo forecasts massive growth in the next 3-5 years
They plan to launch 80 stores in the next 12 months.
Retail Zoo reported a double-digit success in the company’s earnings growth for its fifth consecutive year. The company’s profits for the 2012/2013 financial year rocketed 24 per cent to $17.6 million.
Read the full report here.
Below is a Q&A with Scott Meneilly, CEO of Retail Zoo.
QSR Media: What pushed profits to soar 24%?
Meneilly: The last 12 months delivered a solid performance for Retail Zoo making it the fifth year with double digit EBITDA growth.
We attribute this to consistent results across the board. 5% positive comp sales for both Boost and Salsa’s Fresh Mex Grill, and we opened 48 Boost stores (19 domestically, 29 internationally).
Salsa’s saw an increase of 34 per cent growth in top line sales, with 28 per cent growth in store numbers. We acquired Cibo Espresso late in 2012 and added two stores to its network by the end of financial year 2013.
QSR Media: Do you see that this profit hike is sustainable or is it a one-off event?
Meneilly: Retail Zoo’s brands, executive team, board and business platforms are proven and our forecast shows double digit comp growth will continue into the foreseeable future.
Retail Zoo is an incredible powerhouse with leading brands in great categories. We are our own harshest critics. We look inwards every day and look for ways to improve.
This is part of the DNA of our company and it is what continually propels it forward. We see the next 3 to 5 years as a time of growth for Retail Zoo.
QSR Media: What areas/ aspects does the company hope to further develop?
Meneilly: We are working on a number of exciting initiatives across all brands, which are all aimed at ensuring our positive comp sales continue and we are increasing the number of stores for each brand.
We are anticipating 80 new stores will open over the next 12 months both here in Australia and overseas.
QSR Media: Any other comments?
Meneilly: Retail Zoo is a robust Australian business with a powerful suite of systems, services and knowledge.
Retail Zoo is performing very well and we expect to remain a dominant force in food retail for many years to come.
