Fawaz Abdulaziz Alhokair Co. “Cenomi Retail” (4240) said it set a world record by opening 12 new Subway branches across the Kingdom in a single day.
Significant Expansion
Cenomi Retail noted that it targeted strategic locations for the new restaurants in the country’s capital and the buzzing city of Dammam.
The company launched four conventional standalone restaurants and two unconventional branches in corporate offices, as well as six cloud kitchens in high-demand delivery areas.
It noted that this is in line with its operational cost optimization strategy, which aims to enhance customer experience.
So what
Cenomi Retail, which owns well-known retail brands in Saudi Arabia, expects financial returns from the new stores to be reflected in its earnings during the fourth quarter of the current financial year.
The estimated annual revenue addition for the new Subway restaurants hovers at some SAR 13 million.
It notes the payback period will come at 2.5 years — which is shorter than the sector average of 3 years.
Now what
Salim Fakhouri, the company’s CEO, noted that they aim to open 50 food and beverage stores by the end of 2024, following the opening of 31 stores to date.
This aligns with a corporate plan focused on launching renowned global brands to enhance sector performance this year and beyond.
Fakhouri also said that the company will explore the introduction of more unique and innovative restaurant concepts both within and outside the Kingdom to meet the rapidly evolving needs of today’s consumers.
