Jubilant FoodWorks Q2 Profit Up 10% To Rs 132 Crore; Revenue Up 17% To Rs 1,301 Crore

Jubilant FoodWorks, operator of fast-food chains Domino's Pizza and Dunkin' Donuts, on Tuesday reported a 9.76 per cent increase in its consolidated net profit at Rs 131.52 crore for the second quarter ended on September 30, 2022.
     
The company had posted a net profit of Rs 119.82 crore in the July-September quarter a year ago, Jubilant FoodWorks Ltd (JFL) said in a regulatory filing.
     
Its revenue from operations during the quarter under review was at Rs 1,301.48 crore, up 16.6 per cent, as against Rs 1,116.18 crore of the corresponding period a year ago.
     
"The increase in revenue was driven by Like-for-Like growth of 8.4 per cent and healthy performance of new stores. Dine-in and Takeaway channels combined witnessed strong year-on-year growth, while the Delivery channel registered handsome growth on a high base," said JFL in its earnings statement.
     
JFL's total expenses in the latest September quarter were up 19.76 per cent to Rs 1,153.92 crore.
     
During the quarter, JFL continued its expansion and opened 76 new Domino's stores taking the network strength for Domino's in India to 1,701 stores, it added.
     
"The company entered 22 new cities during the quarter to expand its reach to 371 cities across India," it added.
     
The company had closed 2 restaurants and opened one new for Dunkin', bringing the number down to 24.
     
JFL was operating 20 restaurants under its new QSR Brands - Hong's Kitchen and Ekdum!
     
During the quarter, in Sri Lanka, JFL registered system sales growth of 37 per cent and opened 4 new stores taking the network strength to 40 stores.
     
In Bangladesh, system sales grew by 42 per cent. With the opening of 1 new outlet, the store count in Bangladesh has reached 11 stores, said JFL's earnings statement.
     
JFL is the exclusive master franchise to develop and operate the Domino's Pizza brand in India, Sri Lanka, Bangladesh and Nepal.
     
It also has the franchise rights of the American multinational chain of fried chicken fast food restaurants Popeyes' for the Indian market.
     
Meanwhile, in a separate filing, JFL said its board in a meeting held on Tuesday approved an internal restructuring of its overseas subsidiaries, where certain overseas subsidiaries of the company will be held under Jubilant FoodWorks International Luxembourg, a step-down wholly-owned subsidiary of the company.
     
It has approved the sale of all shares held by JFL in -- Jubilant FoodWorks Lanka, Jubilant FoodWorks Bangladesh and DP Eurasia -- to Jubilant FoodWorks International Luxembourg.
     
JFL chairman Shyam S Bhartia and co-chairman Hari S Bhartia said: "Loyalty, regional menu innovation, sharp digital focus and continued strength of on-ground operational execution defined our record Q2 performance, despite the challenges of high inflation."