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Jubilant FoodWorks Limited (JFL)
Monthly Coverage Report
October, 2017
Submitted By:
Perfect Relations
Media Coverage Index
Date Publication Headline Media
27/10/2017 Business Standard Jubilant FoodWorks net profit doubles in
Q2 Print
27/10/2017 Business Standard Margin topping adds to Jubilant show Print
27/10/2017 Mint Jubilant FoodWorks Q2 profit soars to Rs
48.5 cr Print
27/10/2017 Financial Express Jubilant Foodworks net up two-fold at
Rs48.47 cr Print
28/10/2017 Financial Express Jubilant FoodWorks cuts store guidance Print
27/10/2017 Financial Chronicle Jubilant FoodWorks net rises two-fold Print
27/10/2017 DNA Jubilant Food net rises over twofold Print
27/10/2017 Free Press Journal Jubilant FoodWorks Q2 net raises to Rs
48.48 cr Print
27/10/2017 Political & Business
Daily
Jubilant FoodWorks Q2 profit doubles to
Rs.48-crore Print
27/10/2017 Business Standard
(Hindi) Jubilant foodworks ka shudh laabh
doguna Print
27/10/2017 The Economic Times
(Gujarati) Jubilant FoodWorks Q2 net profit doubles Print
27/10/2017 The Economic Times
(Hindi)
Jubilant Foodworks ka munafa doguna
huya Print
27/10/2017 Financial Express
(Gujarati) Jubilant FoodWorks Q2 net rises over
twofold to Rs 48.47 crore Print
27/10/2017 Hindustan Jubilant foodworks ko 48.47 crore ka
laabh Print
27/10/2017 Eenadu Jubilant Foodworks profit increased Print
27/10/2017 Gujarat Samachar Jubilant Food net rises over twofold Print
27/10/2017 Janmabhumi Jubilant Food net rises over twofold Print
27/10/2017 Navgujarat Samay Jubilant FoodWorks Q2 profit soars to
Rs48.5 cr Print
27/10/2017 People’s Samachar Jubilant FoodWorks Q2 net rises over
twofold to Rs 48.47 crore Print
28/10/2017 Daily Thanthi Jubilant FoodWorks Print
28/10/2017 Vyapar Jubilant FoodWorks Q2 net profit doubles
to Rs 48 cr Print
26/10/2017 The Economic Times Jubilant FoodWorks climbs 5% on 2-fold
rise in Q2 earnings Online
26/10/2017 The Economic Times
(Retail)
Jubilant FoodWorks Q2 PAT more than
doubles to Rs 48.4 cr Online
27/10/2017 The Economic Times
(Brand Equity) Jubilant FoodWorks Q2 net profit surges
twofold to Rs. 48.47 crore Online
27/10/2017 Business Standard Margin topping adds to Jubilant
FoodWorks show Online
26/10/2017 Business Standard Jubilant FoodWorks Sept quarter net Online
profit doubles to Rs 48 cr
26/10/2017 Business Standard Jubilant FoodWorks Q2 net doubles to Rs
48 cr; shares hit near 2-year high Online
27/10/2017 Livemint Jubilant FoodWorks Q2 profit soars to
Rs48.5 crore Online
26/10/2017 The Hindu Business
Line
Jubilant FoodWorks Q2 net profit doubles
to ₹48 cr Online
27/10/2017 Financial Express
Domino’s Pizza, Dunkin’ Donuts master
franchise Jubilant Foodworks profit up 2x
at Rs 48.47 cr
Online
26/10/2017 Bloomberg Quint Jubilant FoodWorks’ Q2 Net Profit More
Than Doubles Online
26/10/2017 MoneyControl Domino’s Pizza operator, Jubilant
Foodworks’ Q2 profit more than doubles
to Rs 48.5 cr
Online
26/10/2017 MoneyControl Jubilant FoodWorks September quarter
net profit doubles to Rs 48 cr Online
27/10/2017 Afaqs! Jubilant profit doubles in Q2 Online
26/10/2017 IndiaToday Jubilant FoodWorks Sept quarter net
profit doubles to Rs 48 cr Online
26/10/2017 IndiaInfoline
Jubilant Foodworks Q2FY18 standalone
net profit rises 124.5% yoy to Rs.48.5 crore
Online
26/10/2017 India Retailing Jubilant FoodWorks reports strong
financial results for Q2FY 18 Online
26/10/2017 Sify News Jubilant Foodworks hits over 2-year high
on upbeat Q2 Online
26/10/2017 Finalaya Jubilant FoodWorks reports over 2-fold
jump in Q2 net profit Online
26/10/2017 Swatantra Prabhat Jubilant FoodWorks Limited ke teemahi
natije ghoshit Online
26/10/2017 Mayur Samvad Jubilant FoodWorks Limited ke teemahi
natije ghoshit Online
26/10/2017 People Matters Interview: Jubilant FoodWorks & Talent
management Online
19/10/2017 One India Diwali Dominos Offer!! Pizzas Worth
Rs.295 at Rs.199 Only* Online
31/10/2017 Scroll.In With less flab and more meat, Domino’s is
getting back in shape in India Online
05/10/2017 Financial Express
Macquarie bullish on Jubilant FoodWorks
after launch of new Domino’s ad campaign
Online
Title Jubilant FoodWorks net profit doubles in Q2
Publication Business Standard
Edition Hyderabad, Kolkata, Mumbai, Delhi and Bangalore
Date 27/10/2017
Title Margin topping adds to Jubilant show
Publication Business Standard
Edition Mumbai
Date 27/10/2017
Title Jubilant FoodWorks Q2 profit soars to Rs 48.5 cr
Publication Mint
Edition Mumbai, Kolkata, Hyderabad, Chandigarh and Bangalore
Date 27/10/2017
Title Jubilant Foodworks net up two-fold at Rs48.47 cr
Publication Financial Express
Edition Mumbai, Lucknow, Pune, Delhi, Kochi, Jaipur, Chennai, Kolkata, Chandigarh, Bhubaneshwar, Bangalore, Hyderabad, Dehradun and Ahmedabad
Date 27/10/2017
Title Jubilant FoodWorks cuts store guidance
Publication Financial Express
Edition Dehradun, Bangalore, Mumbai, Lucknow, Ahmedabad, Delhi, Pune, Jaipur, Kochi, Kolkata, Chennai, Bhubaneshwar, Chandigarh and Hyderabad
Date 28/10/2017
Title Jubilant FoodWorks net rises two-fold
Publication Financial Chronicle
Edition Chennai, Bangalore, Delhi, Hyderabad and Mumbai
Date 27/10/2017
Title Jubilant Food net rises over twofold
Publication DNA
Edition Ahmedabad and Mumbai
Date 27/10/2017
Title Jubilant FoodWorks Q2 net raises to Rs 48.48 cr
Publication Free Press Journal
Edition Mumbai
Date 27/10/2017
Title Jubilant FoodWorks Q2 profit doubles to Rs.48-crore
Publication Political & Business Daily
Edition Bhubaneshwar and Kolkata
Date 27/10/2017
Title Jubilant foodworks ka shudh laabh doguna
Publication Business Standard (Hindi)
Edition Delhi, Chandigarh, Mumbai and Bhopal
Date 27/10/2017
Title Jubilant FoodWorks Q2 net profit doubles
Publication The Economic Times (Gujarati)
Edition Mumbai and Ahmedabad
Date 27/10/2017
Title Jubilant Foodworks ka munafa doguna huya
Publication The Economic Times (Hindi)
Edition Delhi
Date 27/10/2017
Title Jubilant FoodWorks Q2 net rises over twofold to Rs 48.47 crore
Publication Financial Express (Gujarati)
Edition Ahmedabad
Date 27/10/2017
Title Jubilant foodworks ko 48.47 crore ka laabh
Publication Hindustan
Edition Delhi and Gurgaon
Date 27/10/2017
Title Jubilant Foodworks profit increased
Publication Eenadu
Edition Bangalore
Date 27/10/2017
Title Jubilant Food net rises over twofold
Publication Gujarat Samachar
Edition Mumbai and Ahmedabad
Date 27/10/2017
Title Jubilant Food net rises over twofold
Publication Janmabhumi
Edition Mumbai
Date 27/10/2017
Title Jubilant FoodWorks Q2 profit soars to Rs48.5 cr
Publication Navgujarat Samay
Edition Ahmedabad
Date 27/10/2017
Title Jubilant FoodWorks Q2 net rises over twofold to Rs 48.47 crore
Publication People’s Samachar
Edition Bhopal
Date 27/10/2017
Title Jubilant FoodWorks
Publication Daily Thanthi
Edition Chennai
Date 28/10/2017
Title Jubilant FoodWorks Q2 net profit doubles to Rs 48 cr
Publication Vyapar
Edition Mumbai
Date 28/10/2017
Jubilant FoodWorks climbs 5% on 2-fold rise in Q2 earnings
Shares of Jubilant FoodWorks, the operator of Domino’s Pizza chain in India, climbed nearly 5 per cent in
the afternoon trade on Thursday after the company reported over twofold rise in net profit at Rs 48.47
crore for the quarter ended September 30, 2017 against Rs 21.56 crore in the corresponding quarter last
year.
The scrip was trading 5 per cent up at Rs 1,650 around 2.05 pm (IST). Shares of the company opened at
Rs 1,600 and touched a high and low of Rs 1,656.10 and Rs 1,567, respectively, in trade so far.
Benchmark BSE Sensex was up 88 points, or 0.27 per cent, at 33,091 at around the same time.
Title Jubilant FoodWorks climbs 5% on 2-fold rise in Q2 earnings
Web portal The Economic Times
Date 26/10/2017
Link
https://economictimes.indiatimes.com/markets/stocks/news/jubilant-foodworks-
climbs-5-on-2-fold-rise-in-q2-earnings/articleshow/61239684.cms
Total income of the company jumped 9.10 per cent year-on-year to Rs 730.28 crore in Q2FY18 over Rs
669.82 crore in Q2FY17.
During the quarter, the company has actualised its provisional depreciation created in the quarter ended
June 30, 2017 and accordingly reversed excess provision of Rs 6.30 crore in the quarter ended
September 30, 2017.
On the BSE, 2.15 lakh shares were traded on the counter so far as against the average daily volumes of
51,000 shares in the past two weeks.
The stock had hit a 52-week high of Rs 1,690 on October 26, 2017 and 52-week low of Rs 761 on
December 26, 2016.
Jubilant FoodWorks Q2 PAT more than doubles to Rs 48.4 cr
Jubilant FoodWorks that operates Domino's Pizza and Dunkin' Donuts food chain in the country has today
reported profit after tax (PAT) of Rs 48.4 crore, a year on year jump of 125 percent in the second quarter
ending September 30 for the financial year 2017-18. The company had reported a profit of Rs 21.5 crore
during the same period last fiscal.
According to the filing in BSE, the revenue for the quarter in review rose 9.1 percent to Rs 726 crore as
compared to Rs 665.5 crore it generated during the corresponding period in the last financial year.
Title Jubilant FoodWorks Q2 PAT more than doubles to Rs 48.4 cr
Web portal The Economic Times (Retail)
Date 26/10/2017
Link
https://retail.economictimes.indiatimes.com/news/food-entertainment/food-
services/jubilant-foodworks-q2-pat-more-than-doubles-to-rs-48-4-cr/61239500
“At the beginning of the year, we had unveiled our new strategy for driving profitable growth. As part of
this, we reinvested the GST savings accrued to the company in significantly upgrading the Domino’s pizza
product. I am pleased to share that this, along with our other initiatives, helped us deliver a strong
performance on Domino’s in Q2FY18," said Pratik Pota, CEO and whole time director of Jubilant
FoodWorks.
"Dunkin’ Donuts too made significant progress towards the stated objective of halving losses this year.
Additionally, our discipline of controlling costs and driving efficiencies helped improve overall operating
margins. Going forward, we will continue to drive the strategic pillars of superior product and innovation,
enhanced value, seamless customer experience, and improved technology, while bringing a razor sharp
focus on cost management. We are excited about the growth potential in the food category and are
looking forward to driving profitable growth for our business.”
Jubilant FoodWorks Q2 net profit surges twofold to Rs. 48.47 crore
Jubilant FoodWorks today reported over two-fold increase in standalone net profit at Rs 48.47 crore for
the second quarter ended September 30, helped by increase in same store sales growth of Domino's
Pizza.
Same store growth refers to the year-over-year growth in sales for restaurants in operation for 2 years.
The company, which operates Domino's Pizza and Dunkin' Donuts chains in India, had reported a net
profit of Rs 21.56 crore in the same period of previous fiscal.
Title Jubilant FoodWorks Q2 net profit surges twofold to Rs. 48.47 crore
Web portal The Economic Times (Brand Equity)
Date 27/10/2017
Link
https://brandequity.economictimes.indiatimes.com/news/business-of-
brands/jubilant-foodworks-q2-net-profit-surges-twofold-to-rs-48-47-crore/61255269
Its total income was up 9.02 per cent to Rs 730.28 crore during the quarter under review as against Rs
669.82 crore in the year-ago period, the company said in a BSE filing.
The company said growth was driven by a strong 5.5 per cent same store growth (SSG) in Domino's
Pizza and disciplined cost management.
"A combination of mid-single digit same store sales growth and disciplined cost management led to
another solid performance in second quarter of this financial year. We made good progress towards our
goals during the quarter in both Domino's Pizza and Dunkin' Donuts," JFL Chairman Shyam S Bhartia and
Co Chairman Hari S Bhartia said in a statement.
Total expenses during the period stood at Rs 657.01 crore compared to Rs 637.87 crore in the July-
September quarter previous fiscal.
At present, the company operates 1,126 Domino's Pizza and 50 Dunkin' Donuts outlets.
During the September quarter, while the company opened one new Domino's Pizza outlet and shut
another, it closed five Dunkin' Donuts outlet and opened two.
Shares of JFL were trading at Rs 1,640 per scrip, up 2.28 per cent on BSE.
Margin topping adds to Jubilant FoodWorks show
Jubilant FoodWorks reported a better-than-expected September quarter performance. The operating
profit margin at 14.1 per cent was up 450 basis points year-on-year, the highest in 14 quarters. It was
led by revenue performance and cost optimisation. Most analysts had estimated the margin number at
12-12.5 per cent.
Operating profit jumped 59 per cent over a year to Rs 102 crore; revenue grew nine per cent to Rs 726
crore. This was led by strong growth in volumes and a 5.5 per cent same-store sales growth (SSSG). The
top line growth would have been better considering that the company passed on GST benefits (two per
cent reduction in tax) by reducing prices.
Title Margin topping adds to Jubilant FoodWorks show
Web portal Business Standard
Date 27/10/2017
Link
http://www.business-standard.com/article/companies/margin-topping-adds-to-
jubilant-foodworks-show-117102700001_1.html
Passing on of input credit gains to customers in the form of more product additions (toppings) at the
same value and absorbing the food inflation also helped. Profit after tax was up 124 per cent to Rs 48.5
crore with net margins at 6.7 per cent.
SSSG was led by continued traction from the everyday value offering launched in the first quarter and the
new Domino’s campaign in August. It was, however, lower than analysts’ estimates of 7-7.5 per cent
growth. SSSG was 6.5 per cent in the June 2017 quarter and 4.2 per cent in the June 2016 one.
Analysts had estimated five or six new stores in the quarter but the company has become conservative
on this. It added one Domino’s store and shut another, ending the September quarter at 1,125 (1,081 a
year before), the same as at the start. Store additions are to follow a more exhaustive criteria.
There is a focus on cost management by higher personnel utilisation and improved productivity, while
cutting on administration and promotion expenses. Lower other expenses in the quarter were, for
example, a function of what the company called optimising of advertising cost.
The other area the company is focused on is cutting the loss on its Dunkin’ Donuts franchise. The
company continues to rationalise the store portfolio of this brand, having closed five and added two,
taking the total at the quarter's end to 52. That number stood at 73 in the year-ago quarter. It expects to
reduce losses by half in FY18 from this business and see break-even in FY19.
Himanshu Nayyar, analyst at Systematix Shares, said, “If you look at same stores sales are almost same
on q-o-q basis, we could see good margins at Ebitda (earnings before interest, tax, depreciation and
amortisation) level and it shows that the cost control measures are showing some results.”
However, there are no stores opened during the quarter, this may be the reason for no substantial
increase in their cost structure. If this kind of profitability is delivered, there is definitely upside for this
stock, he said.
The strategy, clearly, is on opening new stores selectively and to drive SSSG from existing ones. Coupled
with everyday value offerings, this is expected to drive volumes, growth and profit. While there is scope
for margins to improve, the company is investing in technology to improve customer experience (online
and offline) and reduce cost, while scaling up operations. This and rising input cost could keep a lid on
the margins.
Jubilant FoodWorks Sept quarter net profit doubles to Rs 48 cr
Jubilant FoodWorks, which operates Dominos Pizza and Dunkin Donuts chains in India, today reported
over two-fold jump in its standalone net profit at Rs 48.47 crore for the quarter ended September 30.
The company had posted a net profit of Rs 21.56 crore during the same period of the previous fiscal,
Jubilant FoodWorks said in a regulatory filing.
Title Jubilant FoodWorks Sept quarter net profit doubles to Rs 48 cr
Web portal Business Standard
Date 26/10/2017
Link
http://www.business-standard.com/article/pti-stories/jubilant-foodworks-sept-
quarter-net-profit-doubles-to-rs-48-cr-117102600590_1.html
Net sales during the quarter under review grew 9.17 per cent to Rs 726.63 crore as against Rs 665.54
crore in the year ago period.
Total expenses during the period stood at Rs 657.01 crore compared to Rs 637.87 crore in the July-
September quarter of the previous fiscal.
"We made good progress towards our goals during the quarter in both Domino's Pizza and Dunkin
Donuts.
The performance strengthens our conviction in the strategy for growth unveiled earlier in the year, and
reinforces our belief in the potential for the JFL business in the time ahead," Jubilant FoodWorks Ltd
Chairman Shyam S Bhartia said.
The company's stock was trading 2.12 per cent up at Rs 1,637.50 apiece on BSE today.
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated
feed.)
Jubilant FoodWorks Q2 net doubles to Rs 48 cr; shares hit near 2-year high
Jubilant FoodWorks on Thursday reported over two-fold increase in standalone net profit at Rs 48.47
crore for the second quarter ended September 30, helped by increase in same store sales growth of
Domino's Pizza.
Same store growth refers to the year-over-year growth in sales for restaurants in operation for 2 years.
The company, which operates Domino's Pizza and Dunkin' Donuts chains in India, had reported a net
profit of Rs 21.56 crore in the same period of previous fiscal.
Title Jubilant FoodWorks Q2 net doubles to Rs 48 cr; shares hit near 2-year high
Web portal Business Standard
Date 26/10/2017
Link
http://www.business-standard.com/article/companies/jubilant-foodworks-q2-net-
doubles-to-rs-48-cr-shares-hit-near-2-year-high-117102600663_1.html
Its total income was up 9.02 per cent to Rs 730.28 crore during the quarter under review as against Rs
669.82 crore in the year-ago period, the company said in a BSE filing.
The company said growth was driven by a strong 5.5 per cent same store growth (SSG) in Domino's
Pizza and disciplined cost management.
"A combination of mid-single digit same store sales growth and disciplined cost management led to
another solid performance in second quarter of this financial year. We made good progress towards our
goals during the quarter in both Domino's Pizza and Dunkin' Donuts," JFL Chairman Shyam S Bhartia and
Co Chairman Hari S Bhartia said in a statement.
Total expenses during the period stood at Rs 657.01 crore compared to Rs 637.87 crore in the July-
September quarter previous fiscal.
At present, the company operates 1,126 Domino's Pizza and 50 Dunkin' Donuts outlets.
During the September quarter, while the company opened one new Domino's Pizza outlet and shut
another, it closed five Dunkin' Donuts outlet and opened two.
Shares of JFL were trading at Rs 1,640 per scrip, up 2.28 per cent on BSE.
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the
rest of the content is auto-generated from a syndicated feed.)
Jubilant FoodWorks Q2 profit soars to Rs 48.5 crore
Jubilant FoodWorks Ltd, which operates Domino’s Pizza and Dunkin’ Donuts outlets in India, on Thursday
said net profit more than doubled in the quarter to 30 September, helped by higher sales and cost
discipline.
Net profit rose to Rs48.5 crore in the three months from Rs21.56 crore a year ago. Revenue rose 9.2% to
Rs726.6 crore from Rs665.5 crore.
Title Jubilant FoodWorks Q2 profit soars to Rs 48.5 crore
Web portal Livemint
Date 27/10/2017
Link
http://www.livemint.com/Companies/1Phl2gP94vU32thlLzPLhO/Jubilant-
FoodWorks-Q2-profit-rises-over-twofold-to-Rs4847.html
The rise in profit was backed by a 5.5% increase in Domino’s Pizza same-store sales, a measure of sales
at outlets that have been open for at least a year, the company said in a statement.
“A combination of mid-single digit same store sales growth and disciplined cost management led to
another solid performance in Q2 FY18. We made good progress towards our goals during the quarter in
both Domino’s Pizza and Dunkin’ Donuts. The performance strengthens our conviction in the strategy for
growth unveiled earlier in the year, and reinforces our belief in the potential for the JFL business in the
time ahead,” Shyam S. Bhartia, chairman, and Hari S. Bhartia, co-chairman, Jubilant FoodWorks, said in
the statement.
Total expenses in the quarter ended 30 September rose to Rs657.01 crore from Rs637.87 crore in the
same period a year ago.
Earnings before interest, tax, depreciation and amortization (Ebitda), an indicator of operating
profitability, increased by 59% to Rs102.2 crore. The Ebitda margin, at 14.1%, was the highest in
fourteen quarters.
During the quarter, the company added one Domino’s outlet and closed one, keeping the total store
count at 1,125. It closed five Dunkin’ outlets and added two to lower the total store count to 52.
Shares of Jubilant FoodWorks rose 2.45% to Rs1,642.70 on BSE while the benchmark Sensex gained
0.32% to 33,147.13 points.
Jubilant FoodWorks Q2 net profit doubles to ₹48 cr
Jubilant FoodWorks, which operates Dominos Pizza and Dunkin Donuts chains in India, on Thursday
reported over two-fold jump in its standalone net profit at ₹48.47 crore for the quarter ended September
30.
The company had posted a net profit of ₹21.56 crore during the same period of the previous fiscal,
Jubilant FoodWorks said in a regulatory filing.
Title Jubilant FoodWorks Q2 net profit doubles to ₹48 cr
Web portal The Hindu Business Line
Date 26/10/2017
Link
http://www.thehindubusinessline.com/companies/announcements/results/jubilant-
foodworks-q2-net-profit-doubles-to-rs-48-cr/article9925335.ece
Net sales during the quarter under review grew 9.17 per cent to ₹726.63 crore as against ₹665.54 crore
in the year-ago period.
Total expenses during the period stood at ₹657.01 crore compared to ₹637.87 crore in the July-
September quarter of the previous fiscal.
“We made good progress towards our goals during the quarter in both Domino’s Pizza and Dunkin
Donuts.
The performance strengthens our conviction in the strategy for growth unveiled earlier in the year, and
reinforces our belief in the potential for the JFL business in the time ahead,” Jubilant FoodWorks Ltd
Chairman Shyam S Bhartia said.
The company’s stock was trading 2.12 per cent up at ₹1,637.50 apiece on BSE on Thursday.
Domino’s Pizza, Dunkin’ Donuts master franchise Jubilant Foodworks profit up 2x at Rs
48.47 cr
Jubilant Foodworks, the master franchisee for Domino’s Pizza and Dunkin’ Donuts in the subcontinent, on
Thursday reported a two-fold jump in its net profit at Rs 48.47 crore on a year-on-year basis during the
July-September quarter, which was better than expected. Revenues increased 9% to Rs 726.6 crore
during the period. Earnings before interest, tax, depreciation and amortization (Ebitda) grew 58.9% at Rs
102.2 crore while margin was at 14.1% against 9.6% in the same period a year ago. Same store sales
growth of Domino’s Pizza was at 5.5%. Total expenses increased to Rs 657.01 crore compared to Rs
637.87 crore in the same period of FY17 mainly due to an increase in input costs.
Title Domino’s Pizza, Dunkin’ Donuts master franchise Jubilant Foodworks profit up 2x at Rs 48.47 cr
Web portal Financial Express
Date 27/10/2017
Link http://www.financialexpress.com/industry/dominos-pizza-dunkin-donuts-master-franchise-jubilant-foodworks-profit-up-2x-at-rs-48-47-cr/908264/
However, the company continued its efforts to reduce costs on rent, manufacturing, marketing and
advertising to drive operating efficiencies, Pratik Pota, CEO of Jubilant FoodWorks, said in a conference
call. He added that they will open new stores at select locations and shut down unprofitable ones. During
July-September 2017, the company closed one and opened another store of Domino’s Pizza. Currently,
the company runs a network of 1,126 Domino’s Pizza restaurants across 264 cities in India. Meanwhile,
for Dunkin’ Donuts, the company closed 5 and opened 2 new outlets during the period. As on date,
Dunkin’ Donuts has 50 stores across 12 cities. To reduce losses at Dunkin’ Donuts, the company is
focussing on small-format stores and Donut-Coffee combos, which drove growth during the quarter.
Jubilant FoodWorks’ Q2 Net Profit More Than Doubles
Jubilant FoodWorks Ltd.’s quarterly profit more than doubled beating estimates, driven by same-store
sales growth of Domino’s Pizza chain.
Net profit for the quarter ended September rose to Rs 48.5 crore from Rs 22 crore in the year-ago
period, according to an exchange filing. The consensus estimate of analysts tracked by Bloomberg had
pegged the bottom line at Rs 26.5 crore. Revenue increased 9.2 percent to Rs 726.6 crore on a yearly
basis.
Title Jubilant FoodWorks’ Q2 Net Profit More Than Doubles
Web portal Bloomberg Quint
Date 26/10/2017
Link
https://www.bloombergquint.com/business/2017/10/26/jubilant-foodworks-q2-net-
profit-doubles
“A combination of mid-single digit same-store sales growth and disciplined cost management led to
another solid performance in Q2FY18. We made good progress towards our goals during the quarter in
both Domino’s Pizza and Dunkin’ Donuts,” the company said in a separate media statement.
Domino’s Pizza’s same-store sales rose 5.5 percent, after a 6.5 percent growth in April-June. It started
offering more cheese and toppings and a softer crust at no added costs, partly due to a lower Goods and
Services Tax, Chief Executive Officer Pratik Pota had told BloombergQuint in August. Total levies on quick
service restaurants like Domino’s came down to 18 percent from over 20 percent after the rollout of the
new indirect tax regime on July 1.
The company continued to cut losses at Dunkin Donuts, the statement said. Jubilant FoodWorks had told
analysts during the quarter that it targets to reduce the losses at the franchise by half in the ongoing
financial year and turn them profitable over the next two years.
It closed five pizza and nine Dunkin’ Donuts outlets during the quarter. That compares with 13 new
Domino’s outlets and one Dunkin’ Donuts store in the previous three months.
Cost cuts, initiated at the start of the year, aided operating performance as earnings before interest, tax,
depreciation and amortisation jumped 59 percent to Rs 102 crore over a year ago. Margin expanded to
14.1 percent from 9.6 percent.
Shares of Jubilant FoodWorks rose as much as 6 percent, the most in over two weeks, to Rs 1,713.06
apiece on the BSE after the earnings announcement.
Domino’s Pizza operator, Jubilant Foodworks’ Q2 profit more than doubles to Rs 48.5 cr
Jubilant Foodworks reported better than expected earnings for the September quarter as it reported net
profit at Rs 48.5 crore against Rs 21.6 crore in the previous quarter. The number came in much higher
than CNBC-TV18’s estimates at Rs 27.5 crore.
The Domino’s Pizza operator posted revenues of Rs 726.6 crore, up 9 percent from Rs 665.5 crore in the
same period of last year.
On an operating level, the earnings before interest, taxes, depreciation and amortisation (EBITDA) grew
58.9 percent at Rs 102.2 crore against Rs 64.3 crore year on year. Meanwhile, the operating margin
Title Domino’s Pizza operator, Jubilant Foodworks’ Q2 profit more than doubles to Rs 48.5 cr
Web portal MoneyControl
Date 26/10/2017
Link
http://www.moneycontrol.com/news/business/earnings-business/dominos-pizza-operator-jubilant-foodworks-q2-profit-more-than-doubles-to-rs-48-5-cr-
2420525.html
came in at 14.1 percent against 9.6 percent year on year. The tax expenses were reported at Rs 24.8
crore against Rs 10.4 crore year on year.
The company’s net profit for the June quarter was reported at Rs 24 crore that beat the Street
expectations, posting a rise of 25 percent year on year.
The operator of Domino’s Pizza brand in India, Nepal and Bangladesh was expected to post a profit of Rs
20.1 crore, according to a poll of analysts by CNBC-TV18.
The company’s revenue from operations witnessed a rise of 11.5 percent to Rs 679 crore against Rs 609
crore in the same period last year, while earnings before interest, taxes, depreciation and amortisation
(EBITDA) came in at Rs 79.6 crore, a rise of 37.8 percent from Rs 57.7 crore. The operating margin,
meanwhile, came in at 11.7 percent against 9.5 percent year on year.
The stock gained over 5 percent intraday following the results. At 13:54 hrs Jubilant Foodworks was
quoting at Rs 1,690.40, up Rs 86.95, or 5.42 percent, on the BSE. It touched a 52-week high of Rs
1,692.00.
Jubilant FoodWorks September quarter net profit doubles to Rs 48 cr
Jubilant FoodWorks, which operates Dominos Pizza and Dunkin Donuts chains in India, today reported
over two-fold jump in its standalone net profit at Rs 48.47 crore for the quarter ended September 30.
The company had posted a net profit of Rs 21.56 crore during the same period of the previous fiscal,
Jubilant FoodWorks said in a regulatory filing.
Title Jubilant FoodWorks September quarter net profit doubles to Rs 48 cr
Web portal MoneyControl
Date 26/10/2017
Link
http://www.moneycontrol.com/news/business/earnings-business/jubilant-
foodworks-september-quarter-net-profit-doubles-to-rs-48-cr-2420653.html
Net sales during the quarter under review grew 9.17 per cent to Rs 726.63 crore as against Rs 665.54
crore in the year ago period.
Total expenses during the period stood at Rs 657.01 crore compared to Rs 637.87 crore in the July-
September quarter of the previous fiscal.
"We made good progress towards our goals during the quarter in both Domino's Pizza and Dunkin
Donuts.
The performance strengthens our conviction in the strategy for growth unveiled earlier in the year, and
reinforces our belief in the potential for the JFL business in the time ahead," Jubilant FoodWorks Ltd
Chairman Shyam S Bhartia said.
The company's stock was trading 2.12 per cent up at Rs 1,637.50 apiece on BSE today.
Jubilant profit doubles in Q2
Jubilant FoodWorks, which operates Domino's Pizza and Dunkin Donuts chains in India, on Thursday
reported an over twofold growth in net profit to Rs 48.47 crore for the quarter ended September 30. The
company had posted a net profit of Rs 21.56 crore in the corresponding period last year.
Net sales during the quarter grew 9.17 per cent to Rs 726.63 crore, as against Rs 665.54 crore a year
ago. Total expenses during the period stood at Rs 657.01 crore, compared to Rs 637.87 crore in the July-
September quarter last year. The firm reported same-store sales growth of 5.5 per cent for the
September quarter. For three months to June, the growth was 6.5 per cent, the highest in nine quarters.
Title Jubilant profit doubles in Q2
Web portal Afaqs!
Date 27/10/2017
Link http://www.afaqs.com/news/story/51657_Jubilant-profit-doubles-in-Q2
"We made good progress towards our goals during the quarter in both Domino's Pizza and Dunkin
Donuts. The performance strengthens our conviction in the strategy for growth unveiled earlier in the
year," Jubilant FoodWorks chairman Shyam S Bhartia said.
Led by its new chief executive officer Pratik Pota, Jubilant FoodWorks has focused on driving profitable
growth over the past two quarters. Pota took over as CEO from Ajay Kaul in April this year.
This meant closing stores, controlling costs and driving efficiencies in the system. In the September
quarter, for instance, the company downed shutters of one Domino store and five outlets of Dunkin
Donuts. In the June quarter, five Domino stores and 13 outlets of Dunkin Donuts were shut.
The company's stock was trading up 2.45 per cent at Rs 1,642.70 a share on the BSE at the end of trade
on Thursday.
Jubilant FoodWorks Sept quarter net profit doubles to Rs 48 cr
Jubilant FoodWorks, which operates Dominos Pizza and Dunkin Donuts chains in India, today reported
over two-fold jump in its standalone net profit at Rs 48.47 crore for the quarter ended September 30.
The company had posted a net profit of Rs 21.56 crore during the same period of the previous fiscal,
Jubilant FoodWorks said in a regulatory filing.
Title Jubilant FoodWorks Sept quarter net profit doubles to Rs 48 cr
Web portal IndiaToday
Date 26/10/2017
Link
http://indiatoday.intoday.in/story/jubilant-foodworks-sept-quarter-net-profit-
doubles-to-rs-48-cr/1/1075840.html
Net sales during the quarter under review grew 9.17 per cent to Rs 726.63 crore as against Rs 665.54
crore in the year ago period.
Total expenses during the period stood at Rs 657.01 crore compared to Rs 637.87 crore in the July-
September quarter of the previous fiscal.
"We made good progress towards our goals during the quarter in both Dominos Pizza and Dunkin
Donuts.
The performance strengthens our conviction in the strategy for growth unveiled earlier in the year, and
reinforces our belief in the potential for the JFL business in the time ahead," Jubilant FoodWorks Ltd
Chairman Shyam S Bhartia said.
The companys stock was trading 2.12 per cent up at Rs 1,637.50 apiece on BSE today. PTI PRJ SBT
Jubilant Foodworks Q2FY18 standalone net profit rises 124.5% yoy to Rs.48.5 crore
Jubilant Foodworks consolidated revenue for the quarter came in at Rs. 726.6 crore, registering 9.2% yoy
increase.
EBITDA for the quarter rose by 59.4% yoy to Rs. 102 crore with a corresponding margin expansion of
442 bps. EBITDA margin for the quarter stood at 14%. This margin expansion was aided by decrease in
other expenses by 1.5%
Title Jubilant Foodworks Q2FY18 standalone net profit rises 124.5% yoy to Rs.48.5 crore
Web portal IndiaInfoline
Date 26/10/2017
Link
https://www.indiainfoline.com/article/equity-earnings-result-commentary/jubilant-
foodworks-q2fy18-standalone-net-profit-rises-124-5-yoy-to-rs-48-5-crore-117102600436_1.html
The PAT for the quarter came in at Rs. 48.5 crore, yoy increase of 124.5%. This was due to decrease in
depreciation expense by 11.1%
Technical View:
Jubilant Foodworks Ltd is currently trading at Rs. 1,685.05, up by 81.6 points or 5.09% from its previous
closing of Rs. 1,603.45 on the BSE.
The scrip opened at Rs. 1,600 and has touched a high and low of Rs. 1,692 and Rs. 1,567 respectively.
So far 28,60,786(NSE+BSE) shares were traded on the counter. The stock is currently trading below its
50 DMA.
Jubilant FoodWorks reports strong financial results for Q2FY 18
The key highlights of the quarter’s performance were Q2 FY18 saw the rollout of GST and JFL ensured
that all benefits resulting from this were passed on to consumers across the country, upgraded Domino’s
App with improved functionalities, leading to a strong growth in online ordering, disciplined Cost
management across all fixed cost lines and reduction in DD losses continues.
Commenting on the performance for Q2 FY18, Chairman Shyam S Bhartia, and Co-Chairman, Jubilant
FoodWorks Limited, Hari S. Bhartia said, “A combination of mid-single digit same store sales growth and
disciplined cost management led to another solid performance in Q2 FY18. We made good progress
towards our goals during the quarter in both Domino’s Pizza and Dunkin’ Donuts. The performance
strengthens our conviction in the strategy for growth unveiled earlier in the year, and reinforces our
belief in the potential for the JFL business in the time ahead. We are happy to state that the new GST
regime was implemented very smoothly in the company and we quickly passed on the net benefit to all
the consumers across the country”.
Title Jubilant FoodWorks reports strong financial results for Q2FY 18
Web portal India Retailing
Date 26/10/2017
Link
http://www.indiaretailing.com/2017/10/26/irf-2017/jubilant-foodworks-reports-
strong-financial-results-for-q2fy-18/
Commenting on the performance for Q2 FY18, CEO and Whole time Director, Jubilant FoodWorks
Limited, Pratik Pota said, “At the beginning of the year, we had unveiled our new strategy for driving
profitable growth. As part of this, we reinvested the GST savings accrued to the company in significantly
upgrading the Domino’s pizza product. I am pleased to share that this, along with our other initiatives,
helped us deliver a strong performance on Domino’s in Q2FY18. Dunkin’ Donuts too made significant
progress towards the stated objective of halving losses this year. Additionally, our discipline of controlling
costs and driving efficiencies helped improve overall operating margins. Going forward, we will continue
to drive the strategic pillars of Superior Product and Innovation, Enhanced Value, Seamless Customer
Experience, and Improved Technology, while bringing a razor sharp focus on cost management. We are
excited about the growth potential in the food category and are looking forward to driving profitable
growth for our business.”
The key highlights of the quarter’s performance were Q2 FY18 saw the rollout of GST and JFL ensured
that all benefits resulting from this were passed on to consumers across the country, upgraded Domino’s
App with improved functionalities, leading to a strong growth in online ordering, disciplined Cost
management across all fixed cost lines and reduction in DD losses continues.
Commenting on the performance for Q2 FY18, Chairman Shyam S Bhartia, and Co-Chairman, Jubilant
FoodWorks Limited, Hari S. Bhartia said, “A combination of mid-single digit same store sales growth and
disciplined cost management led to another solid performance in Q2 FY18. We made good progress
towards our goals during the quarter in both Domino’s Pizza and Dunkin’ Donuts. The performance
strengthens our conviction in the strategy for growth unveiled earlier in the year, and reinforces our
belief in the potential for the JFL business in the time ahead. We are happy to state that the new GST
regime was implemented very smoothly in the company and we quickly passed on the net benefit to all
the consumers across the country”.
Commenting on the performance for Q2 FY18, CEO and Whole time Director, Jubilant FoodWorks
Limited, Pratik Pota said, “At the beginning of the year, we had unveiled our new strategy for driving
profitable growth. As part of this, we reinvested the GST savings accrued to the company in significantly
upgrading the Domino’s pizza product. I am pleased to share that this, along with our other initiatives,
helped us deliver a strong performance on Domino’s in Q2FY18. Dunkin’ Donuts too made significant
progress towards the stated objective of halving losses this year. Additionally, our discipline of controlling
costs and driving efficiencies helped improve overall operating margins. Going forward, we will continue
to drive the strategic pillars of Superior Product and Innovation, Enhanced Value, Seamless Customer
Experience, and Improved Technology, while bringing a razor sharp focus on cost management. We are
excited about the growth potential in the food category and are looking forward to driving profitable
growth for our business.”
Jubilant Foodworks hits over 2-year high on upbeat Q2
Shares of Jubilant Foodworks Ltd gain as much as 7.2 percent to 1,719.90 rupees, their highest since Aug
28, 2015.
Stock posts its biggest intraday pct gain since July 17.Co posts Q2 profit of 484.7 mln rupees ($7.47
million), more than double from a year earlier, beating street estimates.
Title Jubilant Foodworks hits over 2-year high on upbeat Q2
Web portal Sify News
Date 26/10/2017
Link
http://www.sify.com/finance/jubilant-foodworks-hits-over-2-year-high-on-upbeat-
q2-news-equity-rk0pujfjghjbe.html
The 9 pct rise in Q2 revenue was also above the 6 pct growth estimated by brokerage firm Emkay Global,
which currently has an "accumulate" rating on the stock.
Higher EBITDA margins were aided by lower other expenses and curtailed rentals, Emkay says.
14 of the 30 analysts covering the stock have a "buy" rating while 5 have "hold and 11 "sell"; median PT
is 1,258 rupees - Thomson Reuters data.
Stock had gained about 88 pct this year up to Wednesday's close.
Jubilant FoodWorks reports over 2-fold jump in Q2 net profit
Jubilant FoodWorks has reported results for second quarter ended September 30, 2017.
The company has reported over 2-fold jump in its net profit at Rs 48.47 crore for the quarter under
review as compared to Rs 21.57 crore for the same quarter in the previous year. Total income of the
company increased by 9.03% at Rs 730.28 crore for Q2FY18 as compared Rs 669.82 crore for the
corresponding quarter previous year.
Jubilant FoodWorks is India’s largest and fastest growing food service company. The company and its
subsidiary operates Domino’s Pizza brand with exclusive rights for India, Nepal, Bangladesh and Sri
Lanka.
Title Jubilant FoodWorks reports over 2-fold jump in Q2 net profit
Web portal Finalaya
Date 26/10/2017
Link
http://www.finalaya.com/News/Jubilant-FoodWorks-reports-over-2-fold-jump-in-
Q2-net-profit-N566346.aspx
Title Jubilant FoodWorks Limited ke teemahi natije ghoshit
Web portal Swatantra Prabhat
Date 26/10/2017
Link http://swatantraprabhat.com/index.php/front/view_news_newdetails/16872
Title Jubilant FoodWorks Limited ke teemahi natije ghoshit
Web portal Mayur Samvad
Date 26/10/2017
Link http://mayursamvad.in/?p=2069
Interview: Jubilant FoodWorks & Talent management
With Domino’s and Dunkin Donuts franchise, Jubilant FoodWorks Limited is one of India’s largest and
fastest growing food service companies with a network of 1,125 Domino’s Pizza restaurants across 264
cities (as on July 17, 2017), and had 55 Dunkin’ Donuts restaurants in India (as on July 17, 2017). And
they couldn’t do it without the right talent.
Title Interview: Jubilant FoodWorks & Talent management
Web portal People Matters
Date 26/10/2017
Link
https://www.peoplematters.in/article/recruitment/interview-jubilant-foodworks-
talent-management-
16675?utm_source=peoplematters&utm_medium=interstitial&utm_campaign=learnings-of-the-day
In an interaction with People Matters, Biplob Banerjee, the Executive Vice President - HR and CSR at JFL
talks about the talent challenges, recruitment strategies, automation and other HR practices which are
synonymous with success.
Biplob joined Jubilant FoodWorks Ltd. in May 2015. He has over 19 years of experience in both enterprise
and consumer space in India. He is an alumni of XLRI Jamshedpur with Post Graduate Diploma in
Personal Management and Industrial Relations.
What are the talent challenges in your industry, especially when you have to deal with a
multigenerational workforce? (especially when your talent is two types – one who are customer-facing, as
in store-managers, and other at your corporate offices)
While there may be few different challenges at restaurant front and corporate office, however the major
ones are common in both places. It is very important to understand the true feeling of employee w.r.t.
aspiration, state of mind, satisfaction with job, development opportunity, emotional and psychological
support, support from supervisors, opportunity to have fun, good compensation, promotion opportunity,
self-development, recognition for a good job done, ability to contribute etc. Millennials may have few
more expectations. Our focus is always to understand, manage and get everyone to drive the big purpose
of the organisation.
What are the different levers/dimensions to re-assess to create an environment for this workforce to
work?
We feel that inspirational leaders and technology are the two critical pillars in this direction. At JFL, we
are a team of around 30,000 spread across 264 cities in India. Firstly, it is critical to have inspiring
leaders and not just good leaders to lead, drive and deliver. The ones who have exceptional people skills
to align and motivate while taking everyone along at the same time. Secondly, with the rapid digital
disruption and technological advancement, it becomes imperative for a customer facing company to
adopt and leverage latest technology at the same pace which includes areas such as HR, IT, SAP or
attendance monitoring apps. Our focus is to leverage these in the best way.
What has been the distinct recruitment strategy which has helped JFL to stand out?
Our strategy is to recruit people who have customer-centric orientation and the ones who care for
customers. This may sound like a cliché but everyone at JFL has NPS target (Net Promoters Score share
full form). We carry out an extensive assessment to attract a certain kind of candidates who are humble,
understanding and loyal to processes and practices to provide the best customer experience. This also
sometimes leads to rejection of candidates who may be bright and intelligent but do not suit our
customer centricity. Moreover, we provide opportunities for career development and not just regular
promotions. Therefore, a frontliner may become a CEO and we have witnessed such cases in the past as
well. In fact, there are very few industries or organizations which offer such career growth. We have
many employees who joined JFL at the starting of their careers. They have stayed with us for long
tenures and done well in all spheres.
A lot of the processes in the food industry has been automated. How has it affected the employability at
JFL. And how are employees being re-skilled in the automated processes.
It’s a continuous journey. With every technological change such as ERP, HR app etc we follow the
practice of reskilling and redeploying. Our HR Team is also part of all relevant events and sessions that
help them to understand the impact of technology.
What are the biggest benefits of JFL employees?
At JFL, employees get the opportunity to develop cross-functional capabilities along with key business
dimensions so their learning is not just limited to their own function only. They receive great exposure
and learning opportunities, especially in digital transformation. They can even approach the CEO directly
for more learning and guidance. We have an open access culture. Lastly, they get to work with a brand
with universal appeal.
What’s the attrition rate at JFL.
We have an attrition rate of 8% at the restaurant level and 3% at the corporate level.
JFL last year had introduced a programme about differently-abled employees to be able to handle the
managerial roles. Also, the company had planned to have one differently-abled worker in tier-1 city
outlets that have 25 or more workers. Has it been implemented? If so, then what has been the
impact/implications in your organization.
The progress in this program has been encouraging and we have been able to cover 50% so far. We are
yet to reach a milestone due to need for advanced training. Realising this we have revised the process
and are expecting to witness good progress going forward.
Diwali Dominos Offer!! Pizzas Worth Rs.295 at Rs.199 Only*
It is time for you to respond to the Diwali hunger planning another friends and family reunion with
Domino's. Yes, Domino's online store is all set to deliver a compelling meal with a desired melting core of
cheese to your doorstep and all this happens in the convenience of few fingertips; all you have to do is to
watch for your favorite stuffed pizzas and opt a added toppings and tastier sauce to sit on a delicate crust
for more flavor punch. Go to Domino's now to enjoy today's best offers or scroll below for more.
Everyday Value Offers:
Title Diwali Dominos Offer!! Pizzas Worth Rs.295 at Rs.199 Only*
Web portal One India
Date 19/10/2017
Link
https://www.oneindia.com/feature/diwali-dominos-offer-pizzas-worth-rs-295-at-rs-
199-only-2565895.html
•Buy any 2 Medium Pizzas worth Rs. 295 at Rs. 199 each. Click here to order now.
•Today's customers can use code DIW20 to save 20% Off on order of Rs.400 or above.
•Choose any 2 Medium Pizzas worth Rs. 365 at Rs. 249 each.
•Opt any 2 Medium Pizzas worth Rs. 440 at Rs. 299 each.
•Select any 2 Medium Pizzas worth Rs. 525 at Rs. 379 each.
Have you Tried the Breadsticks yet?
Domino's online store also delivers a crisp bashed Garlic Breadsticks, Stuffed Garlic Breadsticks and to
new and must check addition to this category are Chicken/Veg Parcel.
How to make your meal more perfect?
•Customize Your Pizza: Customers can customize their favorite choice of hand-tossed pizza such as
Veg/Nonveg Loaded, Cheesy, Pepper Barbecue Chicken and more with few simple clicks. With this one
will be assured of perfectly appreciating their taste buds.
•Opting Dips & Beverages: New Cheese Jalapeno DIP and CHEESY DIP is available only for Rs. 25.00
each. In addition to that customers can opt beverages such as Coke Mobile, Fanta Mobile, Sprite Mobile
and Minute Maid Pulpy Orange for just Rs. 60.00 each.
•What's more? If you think Lava Cake and Butterscotch Mousse Cake will be perfect touch after finishing
your favorite pizza then you can opt it for just Rs. 85.00. Now order, pay and save.
Go to Domino's; order now to avail the exciting offers. The above-mentioned prices may vary according
to the location or days and to get more deals, free coupons at that time you can go to 'Oneindia
Coupons' to save some cash right away!
With less flab and more meat, Domino’s is getting back in shape in India
Things are beginning to look up in India for American pizza chain Domino’s, months after its local
partner, Jubilant FoodWorks, overhauled its business.
In May this year, Jubilant announced that it had stepped up measures to slash costs by shutting down
loss-making stores. Subsequently, it launched its biggest product upgrade to drive up profitability across
its 1,176 stores.
The rationalisation had been triggered by sluggish sales growth over the last three years.
Title With less flab and more meat, Domino’s is getting back in shape in India
Web portal Scroll.In
Date 31/10/2017
Link
https://scroll.in/article/855963/with-less-flab-and-more-meat-dominos-is-getting-
back-in-shape-in-india
These efforts now seem to be showing results. In its earnings for the quarter ended September 30,
Jubilant, which also operates Dunkin’ Donuts in India, registered a net profit of Rs 48.5 crore, a 124.7%
jump over the same period last year. Revenue was up 9.2% at Rs 726.6 crore, the company said in a
filing to the stock exchange on October 26.
Jubilant’s financials reflect a marked shift from the fourth quarter of the last financial year when it
reported a 75.6% drop in profit. Last financial year, same-store sales growth – a measure of yearly
growth in sales for restaurants open for at least two years – dropped to negative 7.5%. This quarter, the
number stood at 5.5%.
In an earnings call on October 26 the company further lowered its store-opening guidance to between 30
and 40 this year, down from between 40 and 50 earlier. That’s significantly lower than the 130 stores it
has been opening annually over the last three years. For the September quarter, for instance, it shut one
Domino’s store and added another, resulting in no net new store additions. In the same period last year,
it had added 32 new outlets.
Meanwhile, the company has closed down 13 Dunkin’ Donuts stores, apart from eight of Domino’s Pizza
outlets, since the fourth quarter of the last financial year. It also plans to halve the losses at Dunkin’
Donuts during the current financial year.
Domino’s 2.0
Jubilant’s move to rationalise costs and have fewer store openings follows an aggressive expansion over
the past few years, which strained profitability.
It hasn’t helped that growth in India’s fast-food market has also been lacklustre.
Over the last four years, consumers haven’t exactly been splurging on fast-food, thanks in part to
increased competition from cafe-bars. The quick-service restaurant market has become crowded lately,
with chains such as Johny Rocket, Carl’s Junior, and Burger King having expanded. Moreover, a growing
local food-tech segment, including players such as Swiggy, has eaten into existing companies’ market
share.
Cornered, Jubilant, which first introduced Domino’s in India in 1996, realised the need for revival.
“The results of these (business revamp and rationalising) will start reflecting progressively from Q1FY18,”
Hari S Bhartia, co-chairman of Jubilant FoodWorks, said during the company’s fourth quarter earnings call
on May 29.
Besides controlling costs on the opening of new stores, the company also announced its biggest product
update in the last two decades. In August, it said it had invested Rs 100 crore in improving the quality of
its pizzas to include more cheese and fresher toppings, along with new packaging.
Macquarie bullish on Jubilant FoodWorks after launch of new Domino’s ad campaign
After global research firms such as Deutsche Bank and CLSA cheered for Jubilant FoodWorks, exclusive
India franchisee of Domino’s Pizza, Macquarie too has joined the bandwagon with a buy call on the stock.
Macquarie is bullish on the scrip with a target price of Rs 1,465. The shares were trading at Rs 1,416, up
by more than 0.6% since the previous close.
Title Macquarie bullish on Jubilant FoodWorks after launch of new Domino’s ad campaign
Web portal Financial Express
Date 05/10/2017
Link
http://www.financialexpress.com/market/macquarie-bullish-on-jubilant-foodworks-
after-launch-of-new-dominos-ad-campaign/883092/
Macquarie foresees a rise in same store sales due to the launch of the new campaign with the catchy
phrase: ‘The official food of everything.’ Further, Macquarie says that the franchisee will see a strong
demand in Maharashtra, with the implementation of Model and Establishment Act, a regulation which
seeks to permit eating joints, movie theatres, malls, and local markets to remain open round the clock.
Jubilant FoodWorks, exclusive India franchisee of Domino’s Pizza had a few hiccups last month, after
Deutsche Bank raised concerns about news reports bugs being found in Domino’s Pizza seasoning packet,
which lead to a near 7% in share price in a single day. The global bank had compared the incident to
‘pesticides in Cola’ faced by Coca-Cola and Pepsi in 2004. Further, Deutsche Bank told CNBC TV18,
“Worms in pizza, reminds us of ‘worms in chocolate’ faced by Cadbury in 2003 and ‘lead in noodles’ faced
by Maggi.” Soon, Deutsche Bank reiterated its preference for the shares as a top pick in the consumer
discretionary space, after the management of Jubilant FoodWorks said that their produce is ‘safe’ for
consumption. Deutsche Bank has maintained a buy call on the stock with a target price of Rs 1,450.
CLSA has revised it’s target on the stock to Rs 1,900 from its earlier target of Rs 1,600. The brokerage
house raised its same-store sales growth and FY19-20 EPS forecasts for the company by 6-12 per cent,
while it raised the target PE multiple for the stock to 60 times from 55 times saying it is convinced that
the company’s measures will yield results. Jubilant FoodWorks shares have returned more than 65%
since January, as compared to BSE Midcap returns of 30% in the same period.