Jubilant FoodWorks Q3 profit rises 7.4% to Rs 103.7 cr on strong delivery

Food services firm Jubilant FoodWorks, which operates Domino's Pizza and Dunkin' Donuts chains in India, on Wednesday reported a 7.4 per cent increase in consolidated net profit at Rs 103.7 crore in the third quarter ended December 2019.

The company had posted a consolidated net profit of Rs 96.51 crore in the same quarter a year ago, Jubilant FoodWorks said in a regulatory filing.

Consolidated revenue from operations during the quarter under review stood at Rs 1,059.6 crore as compared to Rs 929.05 crore in the same period last fiscal, a growth of 14 per cent, it added.

The growth was driven by a strong performance in delivery, especially online sales, which now contribute to 87 per cent of delivery sales, the company said, adding that Domino's app saw 4.1 million downloads during the quarter.

The launch of the Masala Pizza range also helped drive sales during the quarter, with the performance of the innovation significantly exceeding internal targets, it said.

During the quarter, the company said it accelerated its store opening momentum by opening 47 stores -- 44 for Domino's Pizza, two for Dunkin' Donuts and one for Hong's Kitchen.

"This was the highest store opening count in 20 quarters," it said, adding Domino's Pizza Bangladesh continued to do well and the company opened its third store in the country.

As on December 31, 2019, the company has a total of 1,325 restaurants in 282 cities.

Commenting on the overall performance, Jubilant FoodWorks Chairman Shyam S Bhartia and Co-Chairman Hari S Bhartia said the company has maintained strong growth momentum despite slowdown in consumption trends.

This was driven by the increased focus on basics of the business, while elevating customer experience, they said.

Jubilant FoodWorks CEO and Whole time Director Pratik Pota said there was a challenging demand environment and unprecedented inflationary commodity trends during the third quarter.