AME

The Group operates in 16 countries in the AME region, outside of South Africa.

Trading conditions

The impact of COVID-19 gradually reduced during 2022, with most markets recovering to 2020 trading levels by year-end. All AME markets experienced some COVID-19 restrictions, including border closures, curfews, travel bans and health and safety protocols. While several African countries started vaccination programmes, vaccination rates tend to be low. Ten restaurants closed permanently during 2022 as a direct result of COVID-19.

Performance and focus areas

The AME region delivered solid results, with revenue increasing by 9% to R345 million (2021: R316 million). System-wide sales in this region increased by 19.5% but are still below pre-pandemic levels. The operating profit increased to R34 million (2021: R30 million).

The region achieved significant growth in the delivery sales across Quick Service Restaurant brands in Botswana, Ethiopia, Kenya, Nigeria and Sudan. Debonairs Pizza and Steers delivery apps were launched in Kenya. A new format dark kitchen store was opened for Debonairs Pizza in the United Arab Emirates in response to the ongoing customer shift to online platforms.

The Mugg & Bean On The Move format was launched in Angola at four Total Energies sites in Luanda.

Famous Brands continues to grow its Company-owned footprint in Africa. Four new Company-owned Mr Bigg’s restaurants opened in Nigeria, and one Debonairs Pizza. A Debonairs Pizza and one Steers restaurant opened in Kenya. Company-owned restaurants introduce new brands to markets and drive faster scalability. They also allow Famous Brands to set the benchmark standards for those brands and develop sustainable business models for future franchisees.

Famous Brands assisted franchises by providing reduced royalties and extended payment terms to support the overall continued sustainability of the brand networks.

Restaurant revamps and relocation activity increased versus the prior year, with 20 projects completed.