Jubilant Foodworks back in black in Q1, posts net profit of Rs 69 cr

Jubilant Foodworks reported a consolidated net profit of Rs 69.06 crore in the first quarter ended June 30, aided by higher revenues despite the second wave of COVID-19 disrupting operations.

Jubilant Foodworks on Wednesday reported a consolidated net profit of Rs 69.06 crore in the first quarter ended June 30, aided by higher revenues despite the second wave of COVID-19 disrupting operations.

The company, which operates popular fast-food chains such as Domino's Pizza and Dunkin' Donuts, among others in India, had posted a consolidated net loss of Rs 74.47 crore in the same quarter last fiscal, Jubilant Foodworks Ltd (JBL) said in a regulatory filing.

Its revenue from operations in the first quarter stood at Rs 893.19 crore as compared to Rs 388.41 crore in the corresponding period last year when operations were also disrupted by the outbreak of the pandemic.

JBL said its higher revenue in the first quarter was driven by Domino's like-for-like sales growth of 120.4 per cent and store growth of 114.2 per cent.

"The growth in the delivery channel, which grew by 123.7 per cent, mitigated the impact on account of the dine-in channel being shut for a long time and mobility restrictions impacting the takeaway channel," it added.

During the quarter, the company said it opened 29 new stores -- including 20 new Domino's stores and 3 new stores each for Hong's Kitchen, Ekdum! and Dunkin' Donuts -- despite the on-ground disruption caused by the second-wave of COVID-19.

Commenting on the Q1 performance, JBL Chairman Shyam S Bhartia and Co-Chairman Hari S Bhartia in a joint statement said the quarter was one of the most challenging quarters with the sudden onslaught of the second wave of the pandemic.

"Given the severity of the situation, our most important priority during the quarter was to support our employees and their families. We are extremely proud of the manner in which the team came together to deliver a strong and resilient performance," they said.

With vaccinations well underway, they said, "We believe that the worst is behind us and we are confident of delivering strong, sustained growth in the periods ahead".

JBL CEO Pratik Pota said, "Our business model has emerged stronger from the pandemic and we are looking ahead with optimism, confident of delivering hyper-growth and transforming into a food-tech powerhouse".