Jubilant FoodWorks drops after resignation of its CEO

Jubilant FoodWorks declined 6.48% to Rs 940.10 at 14:15 IST on BSE after the board of directors announced that Ajay Kaul decided to step down as the CEO cum whole time director of the company.

The announcement was made after market hours yesterday, 19 September 2016.

Meanwhile, the S&P BSE Sensex was down 151.92 points or 0.53% at 28,482.58.

On BSE, so far 3.58 lakh shares were traded in the counter as against average daily volume of 44,498 shares in the past one quarter. The stock hit a high of Rs 950 and a low of Rs 923.50 so far during the day. The stock had hit a 52-week low of Rs 896.65 on 12 February 2016. The stock had hit a 52-week high of Rs 1,689.30 on 6 October 2015. The stock had underperformed the market over the past one month till 19 September 2016, falling 18.03% compared with Sensex's 1.99% rise. The scrip had also underperformed the market in past one quarter, sliding 6.71% as against Sensex's 7.54% rise.

The mid-cap company has equity capital of Rs 65.84 crore. Face value per share is Rs 10.

Jubilant FoodWorks said that the board of directors of the company at a meeting held on 19 September accepted resignation of Ajay Kaul as the chief executive officer (CEO) cum whole time director of the company. He has decided to step down as the CEO cum whole time director of the company to evaluate and pursue opportunities outside the Jubilant Bhartia group. Ajay Kaul will continue in his current role till 31 March 2017. The company has also initiated the process of identifying his successor.

Jubilant FoodWorks' net profit declined 31.1% to Rs 19 crore on 6.7% growth in net sales to Rs 608.76 crore in Q1 June 2016 over Q1 June 2015.

Jubilant FoodWorks and its subsidiary operates Domino's Pizza brand with the exclusive rights for India, Nepal, Bangladesh and Sri Lanka.

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