Jubilant FoodWorks Q3 net profit falls 18.2% Despite 3.5% Revenue Rise

Jubilant FoodWorks, the master franchisee of Domino's Pizza in India, reported a standalone net profit of Rs 65.8 crore for the December quarter, marking an 18.2% decline from the year-ago period. Revenue, however, grew 3.5% to Rs 1,307 crore, reflecting muted demand but some growth momentum.

Domino's, the company's core brand, witnessed a 2.9% dip in like-for-like sales, indicating challenges in the pizza segment. To diversify its portfolio and drive growth, Jubilant FoodWorks accelerated the expansion of Popeyes, opening 10 new restaurants and entering four new cities. The company's other brands, Hong's Kitchen and Dunkin', also saw modest store expansions.

The loyalty program, Domino's Cheesy Rewards, continued to be a bright spot, reaching 21.5 million enrollments and contributing over 53% of orders in December. Additionally, the company saw strong consumer engagement with its app, recording 9.1 million quarterly downloads and 10.5 million monthly active users.

Also Check: India's 30 Best Bars For 2023

Commenting on the performance, Sameer Khetarpal, CEO and MD of Jubilant FoodWorks, said, "We are navigating the muted demand environment well through proactive strategic decisions. Project Vijay for pizza category development, strengthened operational capabilities, Popeyes expansion, and our competitive strengths in delivery, technology, and supply chain will reignite growth."

He further added that the acquisition of DP Eurasia, the Domino's master franchisee in Turkey and Russia, marks a new chapter for the company and will create additional value for shareholders.

Key Points:

• Net profit down 18.2% to Rs 65.8 crore
• Revenue up 3.5% to Rs 1,307 crore
• Domino's like-for-like sales down 2.9%
• Expansion focus on Popeyes with 10 new stores
• Loyalty program sees strong growth with 21.5 million enrollments