Famous Brands, the company behind popular fast-food chains like Steers, Debonairs Pizza, and Wimpy, managed to increase its earnings despite tough economic conditions. For the year ending February 2025, the group reported an 11.9% rise in headline earnings per share (HEPS), reaching 520 cents. Revenue grew by 3.2% to R8.3 billion, while operating profit jumped 12.6%. The company also announced a final dividend of 195 cents per share, bringing the total payout for the year to 345 cents. However, not all divisions performed equally well—retail sales dropped by 6.6%, partly due to a competitor’s return to the potato chips market after a previous shortage.
While some brands struggled, others held strong. Quick-service chains like Steers and Debonairs saw steady demand, helping offset weaker performance in sit-down restaurants, where consumer spending on dining out declined. Internationally, the company had mixed results: sales in Southern Africa dipped slightly, but revenue in other African and Middle Eastern markets rose sharply by 27.7%. The UK, however, remained a challenge, with revenue falling 18.5% amid economic uncertainty.
Looking ahead, Famous Brands warned that geopolitical tensions and trade wars could make the 2026 financial year unpredictable. Still, the company remains confident in its strategy, focusing on efficiency, expanding drive-thru locations, and improving product innovation. Analysts noted that reduced power cuts in South Africa also helped operations, while new restaurant openings—122 in the past year—aim to capture cost-conscious consumers. Despite the hurdles, Famous Brands believes adapting to market conditions will help sustain growth.