Jubilant Foodworks on Tuesday reported a 914.3% year-on-year rise in its Q4FY18 standalone net profit at Rs 68.1 crore, driven by robust online sales, upgrade in products and shutting down loss-making stores.
Jubilant Foodworks on Tuesday reported a 914.3% year-on-year rise in its Q4FY18 standalone net profit at Rs 68.1 crore, driven by robust online sales, upgrade in products and shutting down loss-making stores. Online sales contributed to 63% of delivery sales, the company said in a statement.
Revenues during the period grew 27.3% year-on-year to Rs 779.8 crore, driven by a strong 26.5% same-store-sales growth in Domino’s Pizza. Ebitda for Q4 FY18 grew 111% year-on-year to Rs 127.8 crore. Ebitda margin for Q4FY18 was 16.4% compared to 9.87% in Q4FY17. According to Bloomberg consensus the company was expected to report net profit of Rs 54.26 crore on revenue of Rs 753.8 crore.
The company said its board has recommended bonus shares to the holders of equity shares of the company in the proportion of 1:1. The board has also recommended a dividend of `5 per equity share of Rs 10 each for the financial year ended March 31, 2018. Upon approval of issuance of bonus shares, the dividend payout post bonus will work out to be Rs 2.5 per equity share of `10 each.
The company said it has shut 26 loss making Dunkin’ Donuts stores and has 37 stores operational as of March 31, 2018. Similarly, it has shut 7 Dominos Pizza stores in 2017-18 and has 1,134 stores operational across the country as of March 31.
Pratik Pota, chief executive officer and whole time director, Jubilant Foodworks said, “In Dunkin’ Donuts, we halved our losses in line with our stated commitment through a focus on donuts and beverages and shutting of unprofitable stores. In addition, our sharp focus and control on costs as also our progress in reducing Dunkin’ Donuts losses led to a healthy increase in profitability. We will continue to execute on our strategy in the new financial year and are confident that will translate into sustained and profitable growth in our business. Our strategic initiatives undertaken in the past one year such as the launch of all new Domino’s, Every Day Value and sharp focus on digital sales drove strong growth for us, leading to a six-year high of 26.5% SSG for Domino’s Pizza in the quarter.”
The Jubilant Foodworks’ scrip closed at Rs 2,560.30 on the BSE, down 1.88%, on Tuesday.