Jollibee Foods Corporation (PSE: JFC) announced its highest quarterly net income on record for the second quarter of 2026, signaling a robust recovery from earlier cost pressures and underscoring the resilience of its global brand portfolio. The company also unveiled ambitious expansion plans for Canada, aiming to nearly double its presence there within five years.
In a disclosure on Tuesday, the Jollibee Group reported a 5.7% year-on-year increase in net income attributable to equity holders of the parent company, reaching Php3.4 billion (approximately US$55 million) for the quarter ended June 30. This record performance was supported by a 14.2% growth in system-wide sales, driven by sustained demand across its Philippine and international operations.
The company attributed the earnings boost to improved operating leverage and margin recovery from first-quarter cost pressures. Gross profit margin improved sequentially to 18.5% in Q2 from 16.5% in Q1, with further strengthening from 17.3% in April to 19.0% in June. Operating income margin rose to 7.2% from 5.2%, and net income margin nearly doubled to 4.0%.
“Our second-quarter results demonstrate the continued strength of the Jollibee Group’s global brand portfolio and the resilience of consumer demand across our key markets,” said Ernesto Tanmantiong, Global Chief Executive Officer. “We delivered healthy system-wide sales growth across all regions, supported by strong contributions from both our Philippine and international businesses, continued same-store sales growth, and ongoing expansion of our global store network.”
North America emerged as a key growth driver, with Jollibee’s system-wide sales soaring 21.6% and same-store sales rising 8.6%. Smashburger, a subsidiary, also posted 7.0% same-store sales growth. This momentum is set to accelerate in Canada, where the company plans to add 26 new locations—16 in British Columbia and 10 in Edmonton—to its existing 28 restaurants. If completed, these additions would nearly double Jollibee’s Canadian footprint, reinforcing the brand’s presence in a market deemed crucial for international expansion.
The company’s global store network expanded by 6.4% year-on-year to 10,767 stores across 33 countries, with franchised stores accounting for approximately 70% of gross new openings. This aligns with Jollibee’s strategy of pursuing capital-light growth and optimizing its portfolio. Transition-related costs of Php239.0 million (US$3.9 million) were incurred during the quarter, linked to the ongoing turnaround of Yonghe King and Smashburger toward predominantly franchised models.
Richard Shin, Chief Financial and Risk Officer, highlighted the sequential recovery: “Pricing actions implemented beginning in April, together with productivity, sourcing, and cost discipline initiatives, contributed to the recovery in gross profit margins and supported stronger operating income and NIAT margins.” He added that the company enters the second half with stronger momentum and confidence in long-term growth prospects.
Looking ahead, Jollibee Group maintained its full-year guidance for system-wide sales growth of 8%-12% and store network growth of 5%-10%, while revising same-store sales growth projection to 3%-4% and capital expenditures to Php13.0-15.0 billion. The company also reaffirmed its commitment to sustainable growth, having recently been named to TIME’s 100 Most Influential Companies and recognized for its sustainability reporting.
With record earnings, robust international performance, and strategic expansion in Canada, the Jollibee Group continues to solidify its position as a global restaurant leader, delivering value to stakeholders and spreading joy through its diverse brand portfolio.
