Burger Fuel Group Limited Analysis

Overview

The company listed on the NZAX market in July 2007.

The offer was for up to 15m shares (25% of the total) at $1 each with a minimum of $8m sought in order to list. Investors received 1 option for every 5 shares they acquired.

Founding Shareholders Chris Mason and Josef Roberts purchased shares from the public pool, on the same terms as all other applicants, to ensure the minimum subscription was met.

BFW has four main areas of revenue: up-front franchise fees, on-going royalty fees, sales of certain proprietary goods and store income from company-owned stores.

Performance

The following information was extracted from Burger Fuel Group Limited's full year results, released 30 May 2024:

Overview – FY24

The Directors of Burger Fuel Group Limited (BFG) present the results for the 12 months to 31 March 2024.

(The audit of these results is in the process of being finalised).

Net Profit after tax for the period was $1,327,077 representing a 47.4% increase on the previous year.

The FY24 profit result is the Company’s strongest since listing on the NZX in 2007. It reflects the growth and investment strategies that the Board has implemented following the considerable disruption to the business from the Covid years FY20 to FY22 and into FY23.

BFG (unaudited) Total System Sales (all three brands, all regions) increased by 10.22% to $117.1M on the same period last year. The Group achieved solid store sales in FY24 bolstered by the opening of BurgerFuel Dunedin in April 2023 and with the introduction of delivery through BurgerFuel outlets. We also recorded a complete year of sales for BurgerFuel Rolleston which opened in October 2022.

Total income for the Group increased by 13.58% to $27.3M.

As at 31 March 2024 there were 61 BurgerFuel restaurants operating in NZ (1 more than last year) and 4 operating in the Middle East (3 less than last year) excluding some third party “dark” kitchens operating in the UAE. In April 2024 the BurgerFuel Hereford Street store closed in Christchurch.

As at 31 March 2024 there were 4 Shake Out and 2 Winner Winner restaurants operating in NZ. The Group closed their underperforming company owned Winner Winner Takapuna store in May 2023 and the franchise agreement for the Winner Winner store in Pukekohe was terminated in March 2024.

In any given GDT Event the GDT website may display a range of results other than price, as explained:

' – ' means that the product was not offered.
‘n.s.’ (not sold) means that no product was sold.
‘n.p.’ (not published) means that product was sold at the starting price, and therefore GDT cannot publish the winning price. For an explanation of this rule, see question 9 in the "Common questions" page under "About GDT" at www.globaldairytrade.info
'n.a.' for the Average Winning Price means that no prices were available for that contract period (for the reasons above), and therefore no average price was applicable.

For clarification where GDT publishes ' – ' or ‘n.s.’ (not sold) NZX results will also display a '-' or 'n.s'.

Where the GDT website displays ‘n.p.’ (not published), NZX will display the starting price. Note that the NZX results page will not differentiate between prices that are equal to starting price or those that have exceeded starting prices.

'n.a.' for the Average Winning Price as displayed on the GDT website are not displayed on this results page.

Note that N/A in the table below means there has been no change between current and previous price.