Matthew Marshall announced as CEO of Retail Food Group, declares turnaround “complete”

Gold Coast franchise company RFG has announced a new boss and declared its return from the brink of disaster is complete. Here’s why

Gold Coast franchisor Retail Food Group has appointed its first CEO in almost five years as it declared the company’s once-unthinkable turnaround complete.

Matthew Marshall, currently RFG’s head of retail, will step into the top job from July 1, taking on executive responsibilities from executive chairman Peter George.

The past five years have seen RFG, operator of brands including Donut King, Brumbys, Gloria Jeans, Crust and Pizza Capers, pick itself up from a near-fatal fall from grace over its treatment of franchisees and operating model under previous management.

Shares in RFG, which once hovered close to $8, crashed at the end of 2017 and have been well below $1 since April 2018.

New RFG CEO Matthew Marshall.

Retail Food Group RFG executive chairman Peter George.

In a statement to the ASX on Thursday, RFG said it expected earnings for the financial year between $26m and $29m on the back of 8.5 per cent growth in domestic sales.

The company said trading had deteriorated in the second half of the year due to interest rate rises and related pressures.

Mr George’s chairman role expanded to take on CEO responsibilities for the ASX-listed company after the sudden resignation of Richard Hinson, in 2018.

He has since tackled a $265m debt, wrangled a toxic corporate culture and public reputation and battled pandemic-induced freefalls in customer counts at the group’s stores.

Mr Hinson had been in the role less than six months, and Mr George was to take on the role “for the time being”.

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Mr George said “the heavy lifting in terms of the turnaround has been accomplished”.

“We have a stable earnings base and a stronger balance sheet which, together with the resolution of legacy regulatory issues in December 2022, provides a firm platform to pursue growth opportunities,” he said.

“Supported by a strong and experienced management team bolstered by the recent appointment of new CFO Rob Shore, the board is in no doubt that Matt possesses the skills and energy necessary to assume broader responsibility for our growth strategy.”

Mr George will continue as executive chairman for two years under the “orderly succession process”.

Mr Marshall said it was a privilege to lead the group on the next stage of its journey.

“It is truly an exciting period as we seek to execute multiple growth opportunities.”

RFG shares rose almost 10 per cent to 5.5c after the announcement.