Jubilant FoodWorks net rises 10% in July-Sept quarter on high demand

This was owing to uptick in demand across all formats

Jubilant Foodworks, which runs Domino’s Pizza restaurants in India, saw its net profit rise 10 per cent during the July-September quarter (Q2) owing to an uptick in demand across all formats.

During the quarter, net profit stood at Rs 131.53 crore. Also, its revenue from operations grew 16.6 per cent to Rs 1,301.5 crore.

The company said in its report that the like-to-like growth stands at 8.4 per cent during the quarter.

“The increase in revenue was driven by the like-to-like growth and healthy performance of new stores,” the company said.

It also added, “Dine-in and takeaway channels combined witnessed strong year-on-year (YoY) growth while the delivery channel registered handsome growth on a high base.”

During the quarter, Jubilant opened 76 new Domino’s stores, taking its store count in India to 1,701.

The company entered 22 new cities during the quarter and is now present in 371 cities across India. It also opened two new stores for Popeyes and one store for Dunkin’. Also, its quarterly app downloads were at a record 9 million.  

In Sri Lanka, Jubilant registered system sales growth of 37 per cent during the quarter and opened four new stores. This takes the network strength to 40 stores.

In Bangladesh, system sales grew by 42 per cent. It opened one new outlet in Bangladesh, taking its store count to 11.

Sameer Khetarpal, chief executive officer (CEO) and managing director (MD), Jubilant FoodWorks, said, “We delivered strong top-line growth, supported by robust like-to-like growth in Domino’s. It was led by our digital and physical footprint. Despite inflation, our performance on margins has been consistent and strong, driven by disciplined cost control and calibrated pricing actions in the past.”

Shyam S. Bhartia, chairman and Hari S. Bhartia, co-chairman, Jubilant FoodWorks, said in a release,

“Loyalty, regional menu innovation, sharp digital focus and continued strength of onground operational execution defined our record Q2 performance. This is despite the challenges of high inflation. We have made significant progress against our strategic priorities and remain confident of continuing a sustainable, profitable growth trajectory.”

The company also proposed internal restructuring of certain overseas subsidiaries.

It said sale of all its shares in Jubilant FoodWorks Lanka and Jubilant FoodWorks Bangladesh to the Jubilant FoodWorks International Luxembourg, a wholly-owned subsidiary of the company, was proposed.

It also proposed sale of shares of DP Eurasia N.V., a company incorporated in the Netherlands, to the Luxembourg subsidiary.