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Burger Fuel reports loss, sales up 13%

Fast food company Burger Fuel has reported an unaudited loss of $219,022 for the six months to September 30, a 26% improvement on the same period last year.

Total unaudited Burger Fuel worldwide sales (including the Middle East) are up 12.9% to $16,365,572 (excluding GST) compared to the same period last year.

As at September 30 the group had $1,153,153 in cash with no borrowings.

The company says the results to date for this year show that losses are reducing, international markets are growing and the company expects to reach profitability in the near future.

During 2010 it has focused on streamlining its operations in New Zealand and expanding the Middle East license opportunities with the opening of its second store in that region.

However, it didn’t open any new stores in New Zealand during that period, due to the “challenging and uncertain economic climate.”

Burger Fuel has also embarked on a cost-cutting programme in Australia, which began with the closure of the company-owned Kings Cross store in November.

More by Niko Kloeten

Comments and questions
7

So after a public float...... Flop she is still a pig

To, Hew-haw ass

not at all. It all looks good.

The content was very good liked it. Visit :( picturebite dot com (for Personalised gifts).

Nah Kloppotz, it ain't looking good. And it's not a pig - it's a dog.

Hey Donkey - your comments remind me of equally uninformed comments about Diligent Shares a year ago, which was in a similar position. Since then Diligent shares have doubled and all looks good. And user of financial reports - take note.

Reply to single malt... a quick perusal of their numbers shows:

The worldwide sales are "system sales" which include revenue that isn't BFWs as they are the revenue of the Mid East licence holder, Al Khayyat Investments.

BFW will only be entitled to a royalty on those sales and it's a bit misleading when BFW's actual reported revenue went up by a piffling $9,000 against the same period last year . Although they did sell the 5 Cross Roads Hamilton Store - the revenue loss apparently offseting almost all the royalty revenue - I exclude the Kings Cross store as it closed after the half year balance date.

In June 2010, BFW Management indicated that the loss for the year ended March 2010 was due to the cost of opening in the Mid East.

Now they say that the Kings Cross store was a pup and they are reviewing whether having the remaining Newtown store is worth being kept open given the cost of running a single store after all the fanfare of opening them up in the first place... and they opened no new stores in New Zealand and said they won't until there is evidence of a growing economy (can't wait).

Uninformed? Maybe you need to look at the numbers.

I like burgers nom nom nom nom nom!!