Jubilant FoodWorks is trading lower by 2% at Rs 1,165 after reporting a 23.7% year-on-year decline in net profit at Rs 24.95 crore for the fourth quarter ended March 31 2014 (Q4FY14), due to higher raw material and employee costs. The country’s largest food service company and the master franchise for Domino's Pizza had posted a profit of Rs 32.71 crore in the same quarter a year ago.
Total income from operations grew 18.5% yoy to Rs 434 crore in the quarter ended March 2014, mainly driven by network expansion, promotional activity and new product introductions, Jubilant FoodWorks said in a statement.
"The consumer sentiment has continued to weigh on the sector; the same-store-sales (SSS) growth during the quarter was negative 3.4% as against 7.7% in Q4FY13," it added.
The operating profit slipped 8.5% yoy to Rs 56 crore and margin declined 390 basis points to 12.8% during the recently concluded quarter.
The company said that EBITDA performance reflected the deceleration in topline trends with a weaker SSG profile. Higher inflationary expenditure compounded the compression in margins.
The stock opened at Rs 1,199 and hit a low of Rs 1,156 on the NSE. A combined around 55,000 shares changed hands on the counter in early morning deals on the NSE and BSE.
Total income from operations grew 18.5% yoy to Rs 434 crore in the quarter ended March 2014, mainly driven by network expansion, promotional activity and new product introductions, Jubilant FoodWorks said in a statement.
"The consumer sentiment has continued to weigh on the sector; the same-store-sales (SSS) growth during the quarter was negative 3.4% as against 7.7% in Q4FY13," it added.
The operating profit slipped 8.5% yoy to Rs 56 crore and margin declined 390 basis points to 12.8% during the recently concluded quarter.
The company said that EBITDA performance reflected the deceleration in topline trends with a weaker SSG profile. Higher inflationary expenditure compounded the compression in margins.
The stock opened at Rs 1,199 and hit a low of Rs 1,156 on the NSE. A combined around 55,000 shares changed hands on the counter in early morning deals on the NSE and BSE.
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