Consumers cut down on restaurant visits

2010-02-25 12:05

Consumers have cut down on restaurant visits as recessionary

pressures continued to impact the restaurant industry locally and

internationally, the Spur Corporation said today.

The JSE-listed family restaurant group was releasing its interim

results for the six months ended December 31.

“We have delivered a solid performance in the current economic

environment,” it said, adding that headline earnings for the period increased by

16% to R45.4 million.

The group said it had posted a 6% growth in revenue to


Spur said that in the past few months consumer sentiment had

improved amid lower interest rates, stabilising inflation and higher real wage


“Many economists do not expect a meaningful upturn in consumer

spending for the balance of the year in anticipation of consumers exercising

prudence due to economic pressures, such as rising energy costs,” the group


In this environment, value and affordability remained its primary


“We are determined to remain competitive through adhering to brand


Spur said the Fifa 2010 World Cup heralded an exciting time for the


Support from its regular customers, combined with the extended

mid-year school holiday, would hopefully impact favourably on trading during

this period.

“Spur Corporation will continue to pursue its strategy of

restaurant expansion locally and abroad, and plans to open several restaurants

in South Africa in the remainder of the financial year,” it said.

The group opened its first franchised Spur Steak Ranch in Dubai

last month.

“Further opportunities are being investigated in the international

territories in which we trade,” Spur said.

Join the conversation! encourages commentary submitted via MyNews24. Contributions of 200 words or more will be considered for publication.

We reserve editorial discretion to decide what will be published.
Read our comments policy for guidelines on contributions. publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
Comments have been closed for this article.

Inside News24

Traffic Alerts
There are new stories on the homepage. Click here to see them.


Create Profile

Creating your profile will enable you to submit photos and stories to get published on News24.

Please provide a username for your profile page:

This username must be unique, cannot be edited and will be used in the URL to your profile page across the entire network.


Location Settings

News24 allows you to edit the display of certain components based on a location. If you wish to personalise the page based on your preferences, please select a location for each component and click "Submit" in order for the changes to take affect.

Facebook Sign-In

Hi News addict,

Join the News24 Community to be involved in breaking the news.

Log in with Facebook to comment and personalise news, weather and listings.