Philippine fast food giant Jollibee reviews 2026 plans amidst geopolitical uncertainty

Profitability for the quarter was affected by elevated direct costs due to inflation.

Jollibee Foods Group is reviewing key assumptions for 2026, including the pace of store openings, planned capital expenditure, and profitability targets, as geopolitical developments drive volatility in input costs across its markets.

According to its recent Q1 2026 report, whilst first-quarter demand trends remained healthy, recent geopolitical developments have increased near-term input cost volatility.

System-wide sales grew 10.3% in the quarter, whilst revenue grew 9%. However, the group reported a dip in earnings before interest, taxes, depreciation and amortisation (EBITDA) 4.9%

The group’s net income attributable to equity holders of the parent company declined 38.8% year-on-year in Q1 2026. Basic earnings per share dropped 40.4%.

The group said profitability for the quarter was affected by elevated direct costs, which increased 11.7%, primarily due to inflationary pressures impacting certain commodities and supply chain inputs amidst recent geopolitical developments.

Richard Shin, Chief Financial and Risk Officer of JFC and Chief Executive Officer of Jollibee Group International Business said current headwinds are manageable and supported by disciplined cost controls, ongoing productivity initiatives, and targeted margin recovery actions across their brands and markets.

“We are managing today’s cost volatility prudently, and we remain confident in our long-term growth outlook. As costs normalize over time, we remain focused on prudent capital allocation and sustaining profitable, long-term growth,” Shin said.