Jubilant FoodWorks reports threefold jump in Q4 net profit

Jubilant FoodWorks reports threefold jump in Q4 net profit

Shares of Jubilant FoodWorks rallied 5% to hit a record high of Rs 3,331.85 on the BSE in intra-day on Tuesday after the company reported over three-fold jump in its consolidated net profit at Rs 105.30 crore for the fourth quarter ended March 2021 (Q4FY21). It had reported a profit of Rs 32.53 crore in the year-ago quarter.
Jubilant FoodWorks operates fast-food chains Domino’s Pizza and Dunkin’ Donuts. The board has recommended a final dividend of Rs 6 per equity share i.e. 60% of the face value of Rs 10 each for the financial year 2020-21.

In Q4FY21, the company’s revenue from operations grew 14.2% year-on-year (YoY) to Rs 1,038 crore during the quarter under review. The figure stood at Rs 909 crore in the corresponding quarter of the fiscal year 2019-20. This was driven by Domino’s Like-for-Like (LFL) sales growth (adjusted for temporary restaurant closures) of 15.1% and same-store growth (SSG) of 11.8%. Domino’s witnessed continued momentum in delivery and takeaway channels which grew by 28.7% and 76.9%.
EBITDA (earnings before interest, taxes, depreciation, and amortisation) margin expanded 540 basis points (bps) YoY to 24.3%.
The company witnessed around 90% recovery in both April and May versus pre-COVID levels, despite dine-in being minimal. Cheese and edible oil costs are rising, but the management does not expect any significant impact on profitability due to cost savings.

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