AmRest achieves all-time record quarter sales of EUR 659.5 million in Q3’24, up 4.2% compared to Q3’23
- EBITDA generated during the third quarter of the year amounted to EUR 125.3 million, with a 19.0% margin, representing an increase of 13.0% compared to the same period in 2023
- The quarterly Group's net profit stood at EUR 28.2 million
- Sales in Spain grew at a rate of 5.6% during Q3’24
- AmRest opened 21 new restaurants during the quarter
AmRest Group, a leading European multi-brand restaurant operator, continued to grow strongly by achieving all-time record quarter sales of EUR 659.5 million in Q3’24, 4.2% higher than those achieved during 2023. In cumulative terms, during the first nine months of the year, revenues amounted to EUR 1,890.9 million, up 4.9% compared to the same period in 2023.
The strong sales during the third quarter of 2024 contributed to generate a Group net profit of EUR 28.2 million, of which EUR 26.3 million was net profit attributable to the shareholders of the parent company, which brings it to an accumulative figure of EUR 3.0 million for the first nine months of the year.
AmRest’s EBITDA generated during Q3’24 reached EUR 125.3 million, representing a margin of 19.0% and an increase of 13.0% compared to the same period in 2023. The Group's net debt amounted to EUR 465.2 million euros at the end of the quarter, EUR 11.4 million less than in the previous quarter. This net debt decrease is due to the growth in accumulated liquidity, which amounted to EUR 157.8 million after accumulated EUR 21.4 million during this period. Likewise, the cash accumulation is the result of a strong generation of operating cash flow, which reached EUR 122.4 million in the quarter, an increase of EUR 33.8 million compared to the previous quarter, and despite an investment cash flow of EUR 51.5 million, 18% higher than in previous quarter. This situation, together with the higher EBITDA generation, allows the leverage ratio to be reduced to 1.8x, slightly below the guidance range provided by the Group.
In addition, AmRest opened 21 new restaurants during the quarter. Net growth in the last 12 months amounted to 70 units, with 75 net growth in company-owned (equity units).
According to Eduardo Zamarripa, Chief Financial Officer for AmRest Holdings SE, “despite a noticeable moderation in household consumption in some of the markets, our quarterly results continue to showcase AmRest's strong commercial momentum, underscoring the robustness of our business model. We will continue to focus on enhancing our unique service and value-for-money offering to meet our guests’ expectations further and build their loyalty”.
Performance in the different business regions
Revenues generated in the Central and Eastern Europe region grew at double-digit rates. In particular, Central and Eastern Europe achieved the best results, with revenues amounting to EUR 390.9 million, an increase of 10.4% over the previous year, representing 59.3% of the Group's revenues. Noteworthy is the outstanding performance of the Polish market during the period, with revenues increasing by 15.5%. EBITDA generated in the region during the quarter was EUR 94.2 million, representing a margin of 24.1%.
Quarterly sales in Western Europe totalled EUR 225.3 million, highlighting the performance of the Spanish market, which grew by 5.6%. In terms of profitability, EBITDA in the region reached EUR 33.1 million, representing a margin of 14.7%.
Regarding business in China, at the macroeconomic level, consumers continue to prioritize savings over spending, which is resulting in a decline in discretionary consumption. In this context, AmRest's sales in the region fell by -13.1% to EUR 22.2 million during the quarter. Despite the revenues decline, in terms of profitability, the EBITDA generated amounted to EUR 4.4 million, representing a healthy margin of 19.7%.
