Some KFC outlets temporarily closed by QSR due to increasing business expenses

QSR Brands (M) Holdings Bhd, the owner of the KFC fast-food franchise in Malaysia, has announced the temporary closure of over 100 KFC outlets nationwide in response to increasing business costs and to focus on high engagement trade zones. This decision comes after months of boycotts against the popular fast-food chain.

According to a report by a local Chinese daily, as of April 27, QSR Brands had temporarily suspended 108 outlets nationwide, with Kelantan being the hardest hit, followed by Johor. The company emphasized that employees from the affected stores were given the opportunity to relocate to operating stores in trade zones with higher customer engagement.

In a statement, QSR Brands highlighted their commitment to the Malaysian community, preserving the brand love for KFC, and protecting their employees. The company, which has been serving Malaysians for over 50 years, stated that their focus remains on providing quality products and services while contributing positively to the Malaysian economy.

QSR Brands also operates KFC restaurants in Singapore, Brunei, and Cambodia, with Malaysia having one of the largest KFC and Pizza Hut stores in the country. The largest shareholder of QSR Brands is Johor state investment arm Johor Corp.

The temporary closure of KFC outlets is part of the company’s reoptimization efforts to manage costs and ensure the sustainability of the business. This move comes amidst boycotts faced by other global brands like Starbucks and McDonald’s due to their perceived support or links to Israel amid the ongoing conflicts in Gaza.