Chicken Republic Brand Owner Food Concepts Sees Revenue Rise 44% on Higher Prices

Chicken Republic owner Food Concepts Plc, a Group that operates various brands of Nigerian quick service restaurants reported increased revenue of N95.3 billion (USD64 million) in 2024 up 44% from N66.2 billion in 2023 primarily driven by higher selling prices, MoneyCentral  has reported.

This was despite lower volumes due to a decline in public purchasing power alongside the impact of the price increases.

In addition to the price reviews, the group implemented cost-saving measures to manage raw material and energy related expenses, resulting in an increase in the EBITDA margin to 11.5% in 2024 from 8.1% in 2023.

The margin further expanded to 12.2% in the three-month period to March 2025 (Q1 2025), signalling a potentially stronger earnings performance for the full year, barring renewed inflation pressures on key inputs.

Food Concepts maintains a strong market presence in the Nigeria Quick Service Restaurant (QSR) sector supported by its well-recognised brands and extensive geographic footprint.

The group currently operates 271 stores across 25 states in Nigeria with plans to roll out additional 50 outlets in 2025.

Food Concept’s strategy centres on offering affordable products targeted at the mid-to-low-income market segment.

The group operates three well-established homegrown QSR brands—Chicken Republic, Pie Xpress, and ChopBox—and supports these through a network of pie production factories located across the country, as well as a centralised kitchen used for spice production and vegetable processing.

This setup is designed to ensure consistency and quality across all products and fostering brand loyalty.

Food Concepts gross debt of N6.1 billion as of March 2025 has remained largely stable over recent years (2024: N6.23 billion; 2023: N6.20 billion).

Net debt to EBITDA remained below 1x at year end 2024, while interest coverage increased slightly to 6.1x (2023: 4.2x) due to better earnings.

Debt comprises loans obtained from the Bank of Industry (BOI) at concessionary rates. Only 25% of debt is short term, and there is no currency risk exposure, as all obligations are naira denominated.

Liquidity is a positive factor, supported by the relatively low short-term debt of N1.3 billion against the available cash holding of N4.1 billion as of March 2025.