Starbucks, KFC, Pizza Hut, and McDonald’s suffer sales slumps as Gaza war boycotts continue across Asia, boosting local and Palestinian brands
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Gaza boycotts batter fast-food chains Starbucks, KFC, Pizza Hut, and McDonald’s and other US brands in Malaysia and Indonesia | Photo: PexelsVasudha Mukherjee New Delhi
In Malaysia and Indonesia, some of the biggest names in fast food — Starbucks, KFC, Pizza Hut, and McDonald’s — are still struggling to recover from the financial hit caused by boycotts sparked by the war in Gaza, according to a report by Nikkei Asia.
Steep sales drops for US fast food chains in Malaysia
In Malaysia, Starbucks operator Berjaya Food reported an 18 per cent year-on-year revenue drop in early 2024, with net losses widening to 37.2 million ringgit (US $9 million). Its share price has fallen another 15 per cent this year. The chain has leaned on heavy localisation efforts — drinks curated by Malaysian baristas, locally designed merchandise, and menu items by a popular local chef — but store managers expect the total number of outlets to shrink from 350 to under 300 by 2026.
QSR Brands, which runs KFC and Pizza Hut, swung from a pre-tax profit of 49.6 million ringgit in 2023 to a 66.2 million ringgit loss in 2024. It has cut prices, pizzas as low as 5 ringgit, stressed its halal credentials, and hired more local staff to appeal to customers.
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Israeli space launch vehicle Shavit sends a military intelligence satellite into space in March 2023. The same Shavit rocket can launch ballistic missiles, including the nuclear-capable, three-stage Jericho III intermediate-range ballistic missile. The Jericho III reportedly has a range exceeding 4,000 kilometers, enough to reach all of Iran, Pakistan, Europe, and western Russia. Israel has not acknowledged the existence of its nuclear weapon arsenal despite being widely known. (Credit: Israel Defense Ministry)Share