MANILA - Max’s Group Inc swung back to profitability in 2021 ending the year with a net income of P451 million, after booking P2.1 billion losses in 2020, the company disclosed on Tuesday.

Max's, which also operates the Yellow Cab, Pancake House and Krispy Kreme brands, said gross profit margin was likewise healthy at 31 percent while operating income margin was at 11 percent, trending better or close to pre-pandemic levels.

Max's credited the turnaround to its moves beyond being just restaurant operators and entry into adjacent industries.

“Our transformation was fast and agile. We did not waste the opportunity that this pandemic gave us. We have successfully remastered our fundamentals, strengthened our core, and revolutionized our business model. MGI is ready and cautiously optimistic for the coming year,” said Max's Group president Ariel Fermin.

For the full 12-month period of 2021, the company said it booked total system-wide sales of P12.52 billion, a 15 percent growth from 2020 despite various lockdowns.

The company noted a faster recovery of its international business posting a 33 percent growth from 2020.

"International business is already approaching pre-pandemic sales level, and future expansion plans are in place for the coming year," the company said.

Max’s also said its delivery sales in 2021 increased by 50 percent from 2020 or more than double 2019’s pre-pandemic delivery sales level.

“Core brands continue to drive the demand and increase in SWS while the other brands were strategically placed in cloud kitchens which added extra boost in sales without the significant CapEx involved in opening a standalone brick-and-mortar store,” said Fermin.

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