• Abstract and Figures
• Public Full-text

SHAKEY’S PIZZA ASIA VENTURES, INC. ANNUAL REPORT 2017 ABOUT THE COVER e rst time “WOW” was ever used as an expression of surprise was in Scotland in the 1500’s. Maybe some hungry Scotsman was served the most incredible haggis and, fumbling for words, muttered the rst thing he could think of: “WOW!” e expression spread like wildre, eventually crossing the Atlantic and into American lives to describe everything from excitement (“Wow, I’m so ready for dinner!”) to amazement (“Wow, this food is delicious!”) to delight (“Wow, I’m denitely coming back to this restaurant!”) Today, WOW is so much more than an expression of positive amazement. It has evolved into an action word. To WOW someone means to give them an extraordinary experience, to move them in a deep and delightful way. Which is how it is at Shakey's, where WOW is our guiding light and philosophy of service as we purposefully create great times and lasting memories for all our guests. From our welcoming door persons to our excellent chefs, attentive waiters, imaginative marketers, brainy accountants and reliable riders - we live, feel, and breathe the WOW philosophy. It truly is our way of life. And our goal? Deliver the best dining experience, weather any challenge, build shareholder condence, and boost our iconic brand both today and for many years to come. FUN.FAMILY.PIZZA.CHICKEN.PASTA.MILKSHAKE.MOJOS.FUN.FAMILY.PIZZA.CHI ZZA.CHICKEN.PASTA.MILKSHAKE.MOJOS.FUN.FAMILY.PIZZA.CHICKEN.PASTA.MIL MILKSHAKE.MOJOS.FUN.FAMILY.PIZZA.CHICKEN.PASTA.MILKSHAKE.MOJOS.FUN TABLE OF 04 Vision, Mission, and Core Values 07 2017 at a Glance CONTENTS 08 Recipe for Success 10 Letter from the Chairman 12 President’s Message 16 Investment Toppings 22 Financial Highlights 24 How We WOW 30 Innovations and Initiatives 32 Tots. Teens. Titas. 34 Purpose in Pizza 36 Corporate Governance 44 Board of Directors 50 Senior Management Team 52 Code of Business Conduct and Ethics 54 Risk Management 56 Investor Relations Program 58 Stock Highlights 60 Management’s Discussion and Analysis 62 Statement of Management’s Responsibility for Financial Statements 63 Independent Auditor’s Report 67 Consolidated Statements of Financial Position 68 Consolidated Statements of Comprehensive Income 69 Consolidated Statements of Changes in Equity 70 Consolidated Statements of Cash Flows 72 Contact Information FUN.FAMILY.PIZZA.CHICKEN.PASTA.MILKSHAKE.MOJOS.FUN.FAMILY.PIZZA.CHI ZA.CHICKEN.PASTA.MILKSHAKE.MOJOS.FUN.FAMILY.PIZZA.CHICKEN.PASTA.MIL MILKSHAKE.MOJOS.FUN.FAMILY.PIZZA.CHICKEN.PASTA.MILKSHAKE.MOJOS.FUN 04 SHAKEY’S 2017 ANNUAL REPORT VISION We desire to be the preferred and dominant Family Casual Dining Restaurant in the Philippines and overseas, serving pizza as our core product. MISSION CORE TO OUR GUESTS VALUES We were established to provide great times and great memories to our Guests. GUEST CENTRICITY TO OUR EMPLOYEES We always put our Guests at the core of everything we do. We seek to know their needs and wants so that we We strive to create a nurturing environment for the can consistently exceed their expectations. We also holistic growth of our employees. We want them to provide them high-quality food products and services have a sense of accomplishment and pride in service at great value for money. of the Company. PASSION FOR EXCELLENCE TO OUR SHAREHOLDERS We are delighted to be able to WOW our Guests. is We are committed to grow the Company in size and concept echoes throughout the entire organization. As in value through achieving industry-leading nancial one team, we aim for service excellence, working returns. together towards a delightful guest experience. TO OUR BUSINESS PARTNERS CRITICAL THINKING We promise to be fair and professional in business We prepare our people to exercise good judgment. dealings. We are detail-oriented and disciplined in our thought processes. TO OUR COMMUNITY We contribute in community building through job ENTREPRENEURIAL SPIRIT creation and providing for the needs of our Guests. We are bold, daring, and actively seeking opportunities for the benet of the Company. SHAKEY’S 2017 ANNUAL REPORT 05 06 SHAKEY’S 2017 ANNUAL REPORT SHAKEY’S 2017 ANNUAL REPORT 07 PASTA MILKSHAKE MOJOS PIZZA CHICKEN SALADS AT A GLANCE 24 NEW RESTAURANTS ST IN THE PHILIPPINES INTERNATIONAL — the highest ever in a STORE single year! 1OPENED! ST ANNIVERSARY OF TOTAL 5.3M LISTING ON THE 208 PHILIPPINE STOCK STORES IN THE PHILIPPINES PIZZAS SOLD EXCHANGE (PSE) PHP762M Philippines’ net income in 2017 Others Shakey’s SINGLE-LARGEST 31% 26% BRAND of Chained 14% INCREASE Full-Service Player 6 versus recurring net income Restaurants 3% Source: Euromonitor 2017 Player 5 Player 2 5% 16% Player 4 Player 3 7% 12% 8.3B Php 7.3B STORE NETWORK Php SSSG FOR 2017: (SAME-STORE SALES GROWTH) GROWTH FOR 2017: 14% INCREASE SYSTEM-WIDE SALES 5% 12% 2016 2017 08 SHAKEY’S 2017 ANNUAL REPORT RECIPE FOR SUCCESS WHAT GOES INTO BUILDING A LEADING PIZZA BUSINESS? The first Shakey's Pizza Parlor opened in The Shakey’s brand for the Philippines and all The brand established its own food commissary Sacramento, California. Located in a remodeled relevant trademark rights were acquired outright to provide consistent and quality raw materials grocery store, the original Shakey's Pizza by the Company in perpetuity. This meant no to the growing number of Shakey’s stores in the restaurant was known as “Ye Public House” for royalty payments and the freedom to execute Philippines. pizza and beer. and "localize" the concept moving forward. 1954 1999 2006 1975 2003 Shakey’s first planted its feet in the Philippines The Company began repositioning and re-engineering with a store located in Metro Manila offering Shakey’s towards a more family-oriented American fast live music and beer. casual dining experience with FUN, FAMILY, and PIZZA as its core. 1ST SHAKEY’S 2017 ANNUAL REPORT 09 200TH PIZZA continues to operate nationwide and maintain market WOW CENTER leadership in the pizza full-service and full-service chain restaurant spaces. It opened its 200th store in the Philippines, ending 2017 with a local store count of 208. The Company also moved into its new head office which it called the "Shakey’s WOW Center" – a testament to its strong guest-centric The Company obtained the Shakey’s rights in and WOWING culture. It also perpetuity for the Middle East, Asia (excluding doubled its commissary’s capacity Japan and Malaysia), China, Australia, and in preparation for continued New Zealand, offering an opportunity to bring growth in demand from the trademark Shakey’s experience to the many company-owned and franchised Filipinos located outside the Philippines. stores. 2014 2017 2009 2016 Shakey’s reached an important milestone with the Century Pacific Group, Inc. (CPGI), led by the Po family, alongside the opening of its 100th store in the Philippines. sovereign wealth fund of Singapore, acquired majority control of the Company from the Prieto family. The corporate name "Shakey’s Pizza Asia Ventures, Inc." (PIZZA) was born, and a well-received initial public offering was conducted later in the year. 100TH 10 SHAKEY’S 2017 ANNUAL REPORT strengthen. Debt levels from acquisition-related cities. We see opportunities to strengthen our oerings leverage continue to improve due to strong business during certain parts of the day and to create more LETTER FROM THE CHAIRMAN performance and healthy cash ows since 2016. As of value-for-money promotions. We will also leverage all end 2017, our net interest-bearing debt to earnings our assets — physical and digital — to be more before interest, tax, depreciation and amortization ratio top-of-mind with our guests, as well as understand and is at an undemanding 2.62x, with a net gearing ratio at a build stronger relationships with our loyal patrons. manageable 0.93x. Furthermore, the long-term and xed Finally, the team commits to delivering all these plans e year 2017, Shakey’s rst full year as a publicly listed company, nature of our debt agreement insulates us from increases with superior execution. in interest rates. Our current position allows us to fund has been a year lled with important milestones. our organic growth plans with reserve capacity in our Indeed, a lot needs to be done. At the same time, I have a balance sheet to spare. lot of faith in the ability of our Shakey’s team to meet the challenges. ey love the brand, are passionate about WOWING our guests, and have pizza sauce running Last October, we opened our rst overseas store in through their veins. I am grateful and proud of all the Kuwait to be followed by another one in Dubai this achievements the team has delivered and have no doubt coming Q2. Our international team is setting up the that the milestones will keep coming. processes to support country franchisee-partners and is developing an interesting pipeline of potential new I am also grateful to our franchisee-partners for country franchise partnerships with some exciting believing in the Shakey’s story and for being caretakers of announcements that are forthcoming. our brand, especially in the far-ung provincial areas of the Philippines; and of course, to our shareholders and We recently moved our corporate oces to the WOW the investing public, for the trust and the support. Center, giving our team members better-quality oce space, more extensive training facilities, and lots of extra I would like to also applaud another project — one that I room for future expansion. We successfully migrated our am particularly proud that the team has broken ground in-house commissary to our new Taguig location with on in the area of social responsibility.

Load more

  73

Copy Link