---
title: "Collins Foods Posts 6.6% Sales Growth As Local and European Momentum Continues"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/297583601.md"
description: "Collins Foods reported a 6.6% sales growth for the first 17 weeks of FY27, driven by strong momentum in Australia and improving European trading. KFC Australia saw total sales rise 6.4%, while Germany and the Netherlands showed recovery signs. The company exited Taco Bell to focus on KFC, maintaining capital discipline and aiming for sustainable growth and shareholder returns."
datetime: "2026-09-01T02:04:07.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/297583601.md)
  - [en](https://longbridge.com/en/news/297583601.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/297583601.md)
generator: "portal-rs"
---

# Collins Foods Posts 6.6% Sales Growth As Local and European Momentum Continues

Collins Foods has reported a 6.6% increase in total sales for the first 17 weeks of FY27 on a constant-currency basis, with Australian momentum continuing and European trading improving materially in recent weeks.

KFC Australia total sales rose 6.4% over the period and same-store sales (SSS) increased 3.4%, while the most recent four weeks delivered 5.0% total sales growth and 3.1% SSS growth despite cycling a strong prior-year Christmas in July promotion.

Germany recorded 44.0% total sales growth across the 17 weeks following the addition of eight Munich restaurants, while SSS declined 5.3%, although the latest four weeks improved to a 0.1% decline.

The Netherlands also showed a turnaround in recent trading, with four-week total sales up 4.9% and SSS up 3.1% compared with weaker results earlier in FY27.

**Strong Australian Momentum**

Collins Foods entered FY27 on the back of record FY26 revenue from continuing operations of $1,592.6 million, up 8.6%, and record underlying NPAT of $61.4m, up 13.0%.

Underlying EBITDA reached $244.5m, statutory NPAT was $47.1m, and net debt fell to $119.6m as the group continued investing in restaurants, technology and its workforce.

KFC Australia generated FY26 revenue of $1,241.3m, up 7.6%, with digital sales rising to 43.2% of the total from 34.2%, supported by greater kiosk penetration and changes to delivery fees.

The business is now rolling out Kwench by KFC nationally, extending late-night trading and beginning breakfast trials at about 16 Gold Coast restaurants in September as it seeks additional growth from new products and dayparts.

**Recent European Recovery**

KFC Europe revenue reached $351.3m in FY26, up 12.5%, while underlying EBITDA increased 14.0% to $44.9m and underlying earnings before interest and tax rose 94.7% to $14.9m.

The Netherlands remains focused on network profitability, with restaurant-level margins improving during FY26 and a recently introduced Halal-certified range producing positive early results across several restaurants.

Germany has become Collins Foods’ second strategic growth pillar, with its network reaching 25 restaurants after the Munich acquisition and a development target of between 45 and 90 additional locations by financial year 2030.

“FY26 was a year of disciplined execution—we grew the business and lifted profitability in every market, and refocused the company on the KFC brand to set up our next stage of growth,” chief executive officer Xavier Simonet said.

“Our focus on operational excellence in all markets to grow sales, profitability, and customer engagement remains undiminished and we will be disciplined on costs and capital allocation.”

**Capital Discipline Foremost**

Collins Foods plans to keep new restaurant investment tied to return hurdles, particularly in Germany, where management wants sustainable SSS growth to resume before accelerating the pace of openings.

The group has meanwhile completed its exit from Taco Bell, transferring 20 restaurants to new ownership in August after closing seven others during FY26, with the financial benefits expected to be reflected in the FY27 interim accounts.

The exit allows Collins Foods to concentrate on KFC across Australia and Europe, alongside initiatives aimed at improving restaurant productivity, customer experience, and profitability.

With Australia continuing to post positive comparable sales and both European markets improving sharply from their first eight weeks, the company is entering its next expansion phase with a stronger balance sheet and a narrower operational focus.

“Our overall goal is to deliver outstanding experiences for our people and customers and strong shareholder returns,” Mr Simonet added.

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---
> **Disclaimer: This article is for reference only and does not constitute any investment advice.**