IndustryReport-ProfitFoodserviceinSpain.pdf

spain - profit foodservice 0180 - 2338 - 2011 marketline this profile is a licensed product and is not to be photocopied page | 1 marketline industry profile profit foodservice in spain january 2012 reference code: 0180-2338 publication date: january 2012 www.marketlineinfo.com marketline. this profile is a licensed product and is not to be photocopied spain - profit foodservice 0180 - 2338 - 2011 marketline this profile is a licensed product and is not to be photocopied page | 2 executive summary market value the spanish profit foodservice sector shrank by 8.2% in 2011 to reach a value of $13,528.7 million. market value forecast in 2016, the spanish profit foodservice sector is forecast to have a value of $15,185.5 million, an increase of 12.2% since 2011. market volume the spanish profit foodservice sector shrank by 8.3% in 2011 to reach a volume of 2,864.1 million visits. market volume forecast in 2016, the spanish profit foodservice sector is forecast to have a volume of 3,179.9 million visits, an increase of 11% since 2011. category segmentation pubs, nightclubs and bars is the largest segment of the profit foodservice sector in spain, accounting for 27.2% of the sectors total value. geography segmentation spain accounts for 7.8% of the european profit foodservice sector value. market rivalry rivalry in the profit foodservice sector is intensified by the presence of large, multinational incumbents, as well as the lack of differentiation between foodservice outlets. spain - profit foodservice 0180 - 2338 - 2011 marketline this profile is a licensed product and is not to be photocopied page | 3 table of contents executive summary . 2 market overview 6 market definition . 6 market analysis 6 market data 8 market value . 8 market volume 9 market segmentation. 10 category segmentation 10 geography segmentation . 11 market outlook 12 market value forecast . 12 market volume forecast 13 five forces analysis . 14 summary 14 buyer power . 15 supplier power . 16 new entrants 17 threat of substitutes . 18 degree of rivalry . 19 leading companies . 20 burger king 20 dominos pizza, inc 23 mcdonalds 26 new york pizza 29 macroeconomic indicators . 30 country data 30 appendix . 32 methodology . 32 industry associations 33 related datamonitor research . 33 spain - profit foodservice 0180 - 2338 - 2011 marketline this profile is a licensed product and is not to be photocopied page | 4 list of tables table 1: spain profit foodservice sector value: $ million, 200711(e) 8 table 2: spain profit foodservice sector volume: million visits, 200711(e) . 9 table 3: spain profit foodservice sector category segmentation : $million, by value, 2011(e) 10 table 4: spain profit foodservice sector geography segmentation : $million, by value, 2011(e) . 11 table 5: spain profit foodservice sector value forecast: $ million, 201116 . 12 table 6: spain profit foodservice sector volume forecast: million visits, 201116 13 table 7: burger king: key facts 20 table 8: burger king: key financials ($) . 20 table 9: burger king: key financial ratios . 21 table 10: dominos pizza, inc: key facts 23 table 11: dominos pizza, inc: key financials ($) . 24 table 12: dominos pizza, inc: key financial ratios 24 table 13: mcdonalds: key facts 26 table 14: mcdonalds: key financials ($) 27 table 15: mcdonalds: key financial ratios . 27 table 16: new york pizza: key facts 29 table 17: spain size of population (million), 200711 30 table 18: spain gdp (constant 2000 prices, $ billion), 200711 . 30 table 19: spain gdp (current prices, $ billion), 200711 30 table 20: spain inflation, 200711 . 31 table 21: spain consumer price index (absolute), 200711 31 table 22: spain exchange rate, 200711 31 spain - profit foodservice 0180 - 2338 - 2011 marketline this profile is a licensed product and is not to be photocopied page | 5 list of figures figure 1: spain profit foodservice sector value: $ million, 200711(e) . 8 figure 2: spain profit foodservice sector volume: million visits, 200711(e) 9 figure 3: spain profit foodservice sector category segmentation : % share, by value, 2011(e) 10 figure 4: spain profit foodservice sector geography segmentation : % share, by value, 2011(e) 11 figure 5: spain profit foodservice sector value forecast: $ million, 201116 12 figure 6: spain profit foodservice sector volume forecast: million visits, 201116 . 13 figure 7: forces driving competition in the profit foodservice sector in spain, 2011 14 figure 8: drivers of buyer power in the profit foodservice sector in spain, 2011 . 15 figure 9: drivers of supplier power in the profit foodservice sector in spain, 2011 16 figure 10: factors influencing the likelihood of new entrants in the profit foodservice sector in spain, 2011 17 figure 11: factors influencing the threat of substitutes in the profit foodservice sector in spain, 2011 . 18 figure 12: drivers of degree of rivalry in the profit foodservice sector in spain, 2011 19 figure 13: burger king: revenues the us and canada; europe, the middle east, africa and asia pacific (emea/apac); and latin america. about 7,549 bkc restaurants are located in the us and canada. over 3,487 of the companys restaurants are located in (emea/apac); and 1,138 restaurants in latin america. the corporation was bought by 3g capital in october 2010. the chain offers a range of burgers, sandwiches, salads and breakfast items including flame-broiled hamburgers, chicken and other specialty sandwiches, french fries, soft drinks and other food items. bkc introduced drive-thru service which now accounts for almost 63% of the us company restaurant business. the company generates revenues from three sources: retail sales at company restaurants, franchise revenues, and property income from restaurants that the company leases or sublease to franchisees. the company generates revenues from three sources: sales at company restaurants, royalties and franchise fees and property income from certain franchise restaurants that lease or sub lease property from the company. key metrics the company recorded revenues of $2,502 million in the fiscal year ending june 2010, an increase of 6.1% compared to fiscal 2009. its net income was $333 million in fiscal 2010, compared to a net income of $200 million in the preceding year. table 8: burger king: key financials ($) $ million 2006 2007 2008 2009 2010 revenues 2,048.0 2,234.0 2,455.0 2,357.4 2,502.0 net income (loss) 27.0 148.0 190.0 200.1 332.9 total assets 2,552.0 2,517.0 2,687.0 2,707.1 2,747.2 total liabilities 1,985.0 1,801.0 1,842.0 1,732.2 1,618.8 employees 37,000 39,000 41,000 41,320 38,884 source: company filings m a r k e t l i n e spain - profit foodservice 0180 - 2338 - 2011 marketline this profile is a licensed product and is not to be photocopied page | 21 table 9: burger king: key financial ratios ratio 2006 2007 2008 2009 2010 profit margin 1.3% 6.6% 7.7% 8.5% 13.3% revenue growth 5.6% 9.1% 9.9% (4.0%) 6.1% asset growth (6.3%) (1.4%) 6.8% 0.7% 1.5% liabilities growth (11.6%) (9.3%) 2.3% (6.0%) (6.5%) debt/asset ratio 77.8% 71.6% 68.6% 64.0% 58.9% return on assets 1.0% 5.8% 7.3% 7.4% 12.2% revenue per employee $55,351 $57,282 $59,878 $57,052 $64,345 profit per employee $730 $3,795 $4,634 $4,843 $8,561 source: company filings m a r k e t l i n e figure 13: burger king: revenues out of which 6,399 were company-operated and 26,338 were franchised. the franchise agreements include conventional franchise arrangements as well as developmental license agreements and foreign affiliates. of the total franchises, the company manages 19,279 conventional franchisees, 3,485 developmental licensees and 3,574 affiliates. under the conventional franchise arrangement, mcdonalds owns or secure leases for the land and building while franchisees provide a portion of initial capital outlay in the form of equipment, signs, seating, decor and maintenance. these franchisees, in turn, contribute to the companys revenue through the payment of rent and royalties based upon the percentage of sales. on an average, the conventional franchise arrangements extend for a period of 20 years and represents 70% of total franchised restaurants of the company. under the developmental license arrangement, licensees provide capital for the entire business, including the real estate interest. for this type of franchises, mcdonalds receives an initial fees as well as the royalty based on a percent of sales. the companys largest developmental license arrangement operates more than 1,750 restaurants across 18 countries in latin american and the caribbean region. also, the company owns equity investments in some of the foreign affiliated markets, referred to as affiliates. the company receives a royalty based on a percent of sales in these markets. as of 2010, japan remains the largest affiliates market with more than 3,300 mcdonalds restaurants. the company reports its revenues based on four geographic segments: europe, the us, apmea (asia/pacific, middle east and africa), and other countries and corporate. other countries and corporate includes canada and latin america, as well as corporate activities and certain investments. mcdonalds restaurants offer a standardized menu, although there may be geographic variations. mcdonalds key product offerings includes hamburgers and cheeseburgers, chicken sandwiches, french fries, wraps, chicken nuggets, salads, desserts, sundaes, soft serve cones, pies, and cookies. it also offers beverages such as milk shakes, soft drinks, coffee, and flavored tea. mcdonalds restaurants in the us and many international markets also offer a wide range of breakfast menu. the companys breakfast offerings include muffins, biscuits, hotcakes, and bagel sandwiches. mcdonalds markets its products under a wide range of brand names that include big mac, big n tasty, filet-o-fish, chicken mcnuggets, mac snack wrap, mcchicken, mcmuffin, mcgriddles, and mccafe among others. key metrics spain - profit foodservice 0180 - 2338 - 2011 marketline this profile is a licensed product and is not to be photocopied page | 27 the company recorded revenues of $24,075 million in the fiscal year ending december 2010, an increase of 5.8% compared to fiscal 2009. its net income was $4,946 million in fiscal 2010, compared to a net income of $4,551 million in the preceding year. table 14: mcdonalds: key financials ($) $ million 2006 2007 2008 2009 2010 revenues 20,895.2 22,786.6 23,522.0 22,744.7 24,075.0 net income (loss) 3,544.2 2,395.1 4,313.0 4,551.0 4,946.0 total assets 28,974.5 29,391.7 28,462.0 30,224.9 31,975.0 total liabilities 13,516.2 14,111.9 15,079.0 16,191.0 17,341.0 employees 465,000 390,000 400,000 400,000 400,000 source: company filings m a r k e t l i n e table 15: mcdonalds: key financial ratios ratio 2006 2007 2008 2009 2010 profit margin 17.0% 10.5% 18.3% 20.0% 20.5% revenue growth 9.3% 9.1% 3.2% (3.3%) 5.8% asset growth (3.4%) 1.4% (3.2%) 6.2% 5.8% liabilities growth (8.9%) 4.4% 6.9% 7.4% 7.1% debt/asset ratio 46.6% 48.0% 53.0% 53.6% 54.2% return on assets 12.0% 8.2% 14.9% 15.5% 15.9% revenue per employee $44,936 $58,427 $58,805 $56,862 $60,188 profit per employee $7,622 $6,141 $10,783 $11,378 $12,365 source: company filings m a r k e t l i n e spain - profit foodservice 0180 - 2338 - 2011 marketline this profile is a licensed product and is not to be photocopied page | 28 figure 17: mcdonalds: revenues & profitability source: company filings m a r k e t l i n e figure 18: mcdonalds: assets & liabilities source: company filings m a r k e t l i n e spain - profit foodservice 0180 - 2338 - 2011 marketline this profile is a licensed product and is not to be photocopied page | 29 new york pizza table 16: new york pizza: key facts head office: forge 15, 1185 zr amstelveen, the netherlands telephone: 020 347 38 80 fax: 020 347 38 81 website: www.newyorkpizza.nl source: company website m a r k e t l i n e new york pizza is a dutch company operating 107 italian restaurants across the netherlands. most outlets are located in the west of the country, although the company plans to expand more in other regions, aiming to operate 140 restaurants in total in three years time. they also offer a take-away and delivery service. the company was founded in 1993. key metrics financial information is unavailable. spain - profit foodservice 0180 - 2338 - 2011 marketline this profile is a licensed product and is not to be photocopied page | 30 macroeconomic indicators country data table 17: spain size of population (million), 200711 year population (million) % growth 2007 45.2 1.2% 2008 45.9 1.6% 2009 46.7 1.7% 2010 47.1 0.9% 2011(e) 46.8 (0.7%) source: marketline m a r k e t l i n e table 18: spain gdp (constant 2000 prices, $ billion), 200711 year constant 2000 prices, $ billion % growth 2007 736.8 3.6% 2008 743.1 0.9% 2009 715.3 (3.7%) 2010 714.4 (0.1%) 2011(e) 719.6 0.7% source: marketline m a r k e t l i n e table 19: spain gdp (current prices, $ billion), 200711 year current prices, $ billion % growth 2007 1,359.0 16.3% 2008 1,532.3 12.8% 2009 1,391.9 (9.2%) 2010 1,357.1 (2.5%) 2011(e) 1,414.6 4.2% source: marketline m a r k e t l i n e spain - profit foodservice 0180 - 2338 - 2011 marketline this profile is a licensed product and is not to be photocopied page | 31 table 20: spain inflation, 200711 year inflation rate (%) 2007 2.8% 2008 4.1% 2009 (0.3%) 2010 2.5% 2011(e) 3.5% source: marketline m a r k e t l i n e table 21: spain consumer price index (absolute), 200711 year consumer price index (2000 = 100) 2007 124.3 2008 129.5 2009 129.1 2010 132.3 2011(e) 136.9 source: marketline m a r k e t l i n e table 22: spain exchange rate, 200711 year exchange rate ($/) 2007 0.7308 2008 0.6834 2009 0.7192 2010 0.7549 2011 0.7549 source: marketline m a r k e t l i n e spain - profit foodservice 0180 - 2338 - 2011 marketline this profile is a licensed product and is not to be photocopied page | 32 appendix methodology marketline industry profiles draw on extensive primary and secondary research, all aggregated, analyzed, cross- checked and presented in a consistent and accessible style. review of in-house databases created using 250,000+ industry interviews and consumer surveys and supported by analysis from industry experts using highly complex modeling & forecasting tools, marketlines in-house databases provide the foundation for all related industry profiles preparatory research we also maintain extensive in-house databases of news, analyst commentary, company profiles and macroeconomic & demographic information, which enable our researchers to build an accurate market overview definitions market definitions are standardized to allow comp