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HomeMarket NewsStocks NewsJubilant FoodWorks Q2 Results | Domino's India owner beats revenue forecast with 43% rise, PAT dips
Domino’s India saw a net addition of approximately 45 new stores during the quarter, bringing its store count to 2,079 across 447 cities. The company has prioritised expanding its digital presence, achieving a record high of 12.8 million monthly active users on its app, an 18.5% year-on-year increase. Jubilant FoodWorks’ shares ended 0.77% in the red on Monday, November 11.
By Asmita Pant November 11, 2024, 5:15:30 PM IST (Published)
Jubilant FoodWorks released its financial results for the second quarter ending September 30, 2024, on Monday, November 11. The company which operates Domino's in India reported a 2.8% like-for-like sales growth for the quarter, primarily driven by 11.4% growth in the delivery segment. The group recorded system-wide sales of ₹2,271.9 crore, supported by a network expansion to 3,130 stores with a quarterly addition of 73 stores.
The overall revenue from operations reached ₹1,954.7 crore, a 43% increase from ₹1,368.6 crore in the same quarter last year. Standalone revenue was ₹1,466.9 crore, up 9.1% year-on-year (YoY), with EBITDA rising slightly to ₹284.2 crore, maintaining a margin of 19.4%, though down 150 basis points. A CNBC-TV18 poll had forecast a revenue of ₹1,425 crore during the quarter. Total income for the quarter also saw a rise, reaching ₹1,984.9 crore, up from ₹1,375.7 crore a year ago.
However, rising costs impacted profitability. The profit before tax dropped to ₹87 crore from ₹120.5 crore, mainly due to increased costs, which rose to ₹1,895.7 crore from ₹1,290.2 crore. Employee benefits expenses surged to ₹336.8 crore, up from ₹259.4 crore, and depreciation costs climbed to ₹201.4 crore from ₹141.9 crore. The cost of raw materials rose to ₹408.3 crore.
Domino’s India saw a revenue increase of 8.1%, driven by a 20.2% order growth. Mature store average daily sales (ADS) reached a six-quarter high of ₹80,185. The Domino’s app saw record monthly active users (MAU) of 12.8 million, up 18.5% year-on-year, while new customer acquisition grew by 29%.
The company’s total EBITDA was ₹398.6 crore, with a margin of 20.4%, up 14 basis points YoY. However, again, rising expenses affected profitability, with PAT at ₹66.5 crore, down from ₹97.2 crore. Total comprehensive income also dropped to ₹44.9 crore, from ₹98.8 crore last year. PAT margin for the quarter was recorded at 3.7%.
Domino’s India saw a net addition of approximately 45 new stores during the quarter, bringing its store count to 2,079 across 447 cities. The company has prioritised expanding its digital presence, achieving a record high of 12.8 million monthly active users on its app, an 18.5% YoY increase.
Jubilant FoodWorks’ international operations, including Domino’s outlets in Turkey, Bangladesh, and Sri Lanka, also contributed to the quarterly performance. However, challenges in certain international markets, such as temporary store closures in Bangladesh, dragged down growth abroad.
The shares of the company ended 0.77% in the red on Monday, ahead of the results.
(Edited by : Shoma Bhattacharjee)
