Craveable’s Oporto lifts profit in tough market

By the Editorial Team · Wednesday, October 28, 2026

Private equity firm PAG is considering selling Craveable Brands, which owns several Australian fast-food chains, following a rise in the company's comprehensive income to $25.9 million in the fiscal year ending June 2026 despite a slight revenue decline. The potential sale reflects PAG’s strategy to capitalize on the brand’s increased valuation, potentially exceeding $1 billion, amid growing marketing efforts and sector benchmark transactions.

Private equity firm PAG is reportedly considering the sale of Craveable Brands, owner of several Australian quick-service restaurant chains, following a notable earnings performance in the fiscal year ending June 28, 2026. This potential move comes two years after PAG first explored market interest in the business.

According to recently lodged financial statements with the Australian Securities & Investments Commission, Craveable Brands posted a total comprehensive income of $25.9 million for the year, up from $17.5 million the previous year. This increase occurred despite a slight decline in revenue, which fell to $220.9 million from $228.4 million. The company experienced rising material and finance costs, though these were partially offset by reduced staff expenses and smaller impairments compared to the prior year.

Significantly, marketing expenditure within the company rose from $1.7 million to $5.7 million over the same period, prompting speculation that the heightened promotional activity could be linked to preparations for a sale process. Industry observers highlight the recent $800 million acquisition of Lebanese fast-food chain El Jannah by private equity firm General Atlantic as a relevant benchmark in the sector.

Craveable Brands operates several well-known fast-food brands, including Red Rooster, Oporto, Chicken Treat, and Chargrill Charlie’s—the latter was acquired from the Sher family in 2023. The group runs over 600 outlets nationwide, employing approximately 14,000 staff and serving around one million customers each week. Despite maintaining profitability, the company’s net income has decreased from pre-pandemic levels, with net profit recorded at $33 million for the year ending June 2022.

The quick-service restaurant sector has faced challenging conditions, influenced by rising interest rates and increased living costs impacting consumer spending. The broader market context also includes other major players facing difficulties; for instance, Guzman y Gomez reported a $26.7 million loss for the year to June 2026, partly due to withdrawing from the U.S. market.

PAG acquired Craveable Brands in 2019, following prior attempts to list the company publicly at an approximate valuation of $400 million. Current market assumptions suggest the brand could now command a valuation exceeding $1 billion, reflecting both PAG’s investment growth expectations and the firm’s broader strategy in the Australian food sector.

Leadership of Craveable Brands transitioned earlier this year to former Domino’s executive Josh Kilimnik, while PAG Asia Capital’s executive director Jodi Ingham oversees the investment. PAG, chaired by Weijian Shan, manages assets totaling over $85 billion across various investment categories and has significantly expanded its Australian food portfolio in recent years. This includes holdings in Patties Foods, Four’N Twenty Pies, The Cheesecake Shop, Vesco Foods, the Cordina Group, and a stake in Regional Express Airlines.

This article was reported by synthesizing coverage from multiple independent news outlets to present a balanced, unbiased account. Read about our editorial standards. Spotted an error? Let us know.