Jubilant FoodWorks hits new high on solid Q3 performance
The stock surged 6% to Rs 2,053 after the company reported a strong Same Store Growth of 17.8% for Domino's in December quarter.
 "Jubilant FoodWorks hits new high on solid Q3 performance")
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Jubilant FoodWorks hit a new high of Rs 2,053, up 6% on BSE in intra-day deal, after the company reported a strong Same Store Growth (SSG) of 17.8% for Domino’s as against analyst’s expectation of around 8% in December quarter (Q3FY18). The company had recorded a negative growth of 3.3% in a year ago quarter.
The company reported more than doubled net profit at Rs 660 million in Q3FY18 from Rs 200 million in the corresponding quarter of previous fiscal. Operating revenues grew 20.7% year on year (YoY) to Rs 7.95 billion over the previous year quarter.
EBITDA (earnings before interest, tax, depreciation and amortization) margin improved to 17.2% during the quarter was highest in nineteen quarters.
“Our emphasis on driving the key strategic pillars is translating into healthy same store sales growth YoY, while setting the base for consistent growth in line with the potential of the QSR (Quick Service Restaurant) space,” said Shyam Bhartia, Chairman and Hari Bhartia, Co-chairman, Jubilant FoodWorks.
The strong growth in Domino’s Pizza owing to benefits of product upgrade. The lowering in rate of applicable Goods and Services Tax (GST) to 5% has allowed the company to demonstrate commitment to deliver the best value proposition as it passed on the benefits of lower tax rate to the customers, Jubilant FoodWorks said.
At 02:33 PM; the stock was trading 5% higher at Rs 2,045 on BSE, as compared to 0.48% rise in the S&P BSE Sensex. The trading volumes on the counter more than doubled with a combined 3.23 million shares changed hands on BSE and NSE so far.
The company reported more than doubled net profit at Rs 660 million in Q3FY18 from Rs 200 million in the corresponding quarter of previous fiscal. Operating revenues grew 20.7% year on year (YoY) to Rs 7.95 billion over the previous year quarter.
EBITDA (earnings before interest, tax, depreciation and amortization) margin improved to 17.2% during the quarter was highest in nineteen quarters.
“Our emphasis on driving the key strategic pillars is translating into healthy same store sales growth YoY, while setting the base for consistent growth in line with the potential of the QSR (Quick Service Restaurant) space,” said Shyam Bhartia, Chairman and Hari Bhartia, Co-chairman, Jubilant FoodWorks.
The strong growth in Domino’s Pizza owing to benefits of product upgrade. The lowering in rate of applicable Goods and Services Tax (GST) to 5% has allowed the company to demonstrate commitment to deliver the best value proposition as it passed on the benefits of lower tax rate to the customers, Jubilant FoodWorks said.
At 02:33 PM; the stock was trading 5% higher at Rs 2,045 on BSE, as compared to 0.48% rise in the S&P BSE Sensex. The trading volumes on the counter more than doubled with a combined 3.23 million shares changed hands on BSE and NSE so far.