DIGIVESTASI - PT Fast Food Indonesia, the franchise holder of KFC in Indonesia, suffered significant losses throughout 2024. The company, with the stock code FAST, recorded a loss of IDR 557.08 billion by the third quarter of 2024, a sharp increase of 266.59% compared to the same period last year when losses amounted to only IDR 152.41 billion.

The losses were driven by two main factors. First, the business recovery after the COVID-19 pandemic has not been optimal. Second, the impact of the Middle East crisis has sparked a boycott of KFC by certain segments of society.

"This situation is a prolonged effect of the group’s post-COVID-19 recovery, where sales have not met management's targets. Additionally, the market conditions worsened due to the Middle East crisis. These two issues have negatively affected the group’s performance over the nine months ending on September 30, 2024," explained the management in the financial report.

Due to the escalating losses, KFC was forced to implement efficiency measures by closing outlets and laying off employees. As of September 30, 2024, KFC operated only 715 outlets across Indonesia, down from 762 outlets in December 2023, marking the closure of 47 outlets over the past nine months.

In terms of workforce, the number of employees at PT Fast Food Indonesia also dropped significantly. By the end of September 2024, the company had 13,715 employees, a reduction of 2,274 employees from December 2023 when the workforce stood at 15,989.

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