Georgia's International Business News Source
Turkey, Canada Bolster Popeyes Overseas
Trevor Williams
Atlanta - 08.20.10

Strong sales in Turkey, Canada and U.S. military bases bolstered growth for Popeyes restaurants overseas in the second quarter as sales lagged in Korea, Latin America and the Middle East.

Atlanta-based AFC Enterprises Inc., the fried-chicken chain's franchisor, posted net income of $6.8 million for the quarter, more than 6 percent higher than the year-ago period though system-wide sales grew more slowly.

Globally, Popeyes sales increased by 2.8 percent to $426.4 million in franchised restaurants and $12.1 million in those operated by AFC. Most of the growth came from new stores, as sales in established units were up 0.4 percent domestically and 0.6 percent internationally.

To deal with the softer markets, Popeyes will focus on value promotions to attract customers, the company said in a news release.

The Popeyes system opened 17 restaurants during the quarter, 11 of which are overseas, including two in Vietnam and one in the Cayman Islands. Popeyes also closed 17 restaurants during the quarter. This year the chain has opened 34 restaurants and closed 29.

Popeyes now has 1,945 restaurants, 1,570 in the U.S. and 375 in 26 countries and Guam, Puerto Rico and the Cayman Islands.

Visit www.afce.com for more information.


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