Mr Bigg’s Posts Sixth Year of Losses as Competition Hots Up
By Lydia Oluremi Mr Bigg’s, a once-thriving fast-food restaurant, reported a sixth straight annual loss for 2024 as competition stiffened
By Lydia Oluremi
Mr Bigg’s, a once-thriving fast-food restaurant, reported a sixth straight annual loss for 2024 as competition stiffened amid a cost-of-living crisis that has crimped consumer spending.
UAC Restaurants Limited, a subsidiary of UAC of Nigeria (UAC), manages the network of quick service restaurants (QSR) across Nigeria under the Mr Bigg’s and Debonairs Pizza brands. It is in a joint venture with Famous Brands, which in 2013 acquired 49% stake in the company.
The QSR business recorded revenue of N2.5 billion last year, down from N3.7 billion in 2023 “impacted by lower sales, due to the closure of unprofitable stores”, UAC said in an earnings release.
It reported a loss before tax of N1.3 billion, its biggest-ever, compared to N1.2 billion loss in 2023.
The subsidiary has seen its pretax loss widen more than 17-fold since 2019, when it posted a loss of N75.21 million as against a profit of N59.24 million in the previous year, according to data compiled by MarketsReporters.
Last year, UAC said the QSR management was “working on efforts to drive profitability by implementing production cost optimisation initiatives and limiting costs, especially in power generation at corporate stores”.
