After strong Q3 show, Jubilant FoodWorks is back in expansion mode

While revenue growth is expected to stay strong, margins could come under pressure in the near term

Jubilant FoodWorks (Jubilant), which runs the Domino’s chain of stores, signalled a recovery with revenues back to pre-Covid levels in the December quarter. Led by an uptick in convenience sales, the company’s revenues came in better than estimates. The sharp 64 per cent uptick in takeaway and the 18.5 per cent growth in delivery helped while dine-in sales continued to be sluggish with a recovery at 41 per cent. The company highlighted that there is a restriction on capacity as it is capped at 50 per cent. The management however believes that removal of restrictions and normalcy would lead to