Jubilant FoodWorks gained 1.77% to Rs 568.35 after the QSR chain operator's standalone net profit soared 61.41% to Rs 100.96 crore on 41.1% surge in revenue from operations to Rs 1,240.27 crore in Q1 FY23 over Q1 FY22.
The company said that the increase in revenue was driven by Like-for-Like growth of 28.3%. Dine-in and Takeaway channels combined witnessed strong sequential growth while momentum continued in the Delivery channel.
Standalone EBITDA surged 44% to Rs 304.5 crore in Q1 FY23 as against Rs 211.5 crore recorded in Q1 FY22. Despite of significant cost headwinds, EBITDA margin rose by 49 basis points to 24.6% in Q1 FY23 as against 24.1% posted in the same period a year ago. Meanwhile, PAT margin stood at 8.1% increased by 102 bps in Q1 FY23.
The company reported an exceptional item of non-cash impairment charge of Rs 26.6 crore on investments made in the Sri Lanka subsidiary due to significant changes in the country's economic environment.
The company's profit before tax stood at Rs 137.53 crore in the first quarter, up 65.4% over the corresponding quarter previous year.
Domino's Like-for-Like (LFL) sales growth stood at 28.3% in Q1 FY23 as against 5.8% in Q4 FY22 and 120.4% in Q1 FY22. LFL sales growth refers to the year-over-year growth in sales for non-split restaurants opened before previous financial year.
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The company continued with its strong store opening momentum and opened 58 new Domino's stores taking the network strength for Domino's in India to 1,625 stores. The company entered 12 new cities during the quarter to expand its reach to 349 cities across India. It also opened 2 new stores each for Popeyes and Hong's Kitchen.
During the quarter, in Sri Lanka, the Jubilant FoodWorks registered system sales growth of 83% and opened 1 new store taking the network strength to 36 stores. In Bangladesh, system sales grew by 49%. With the opening of 1 new outlet, the store count in Bangladesh has reached 10 stores.
Commenting on the Q1 FY23 performance, Shyam S. Bhartia, chairman and Hari S. Bhartia, co-chairman of Jubilant FoodWorks said, This quarter's record results were driven by strong demand, a marked resurgence in dine-in consumption and disciplined cost management in the wake of a high inflationary environment. With the launch of our much-awaited loyalty program, we have addressed key whitespace in our brand offering. We believe this program will be a significant driver of growth and frequency for us while offering superior value to our customers.
Commenting on the Q1 FY23 performance, Ashish Goenka, EVP and CFO of Jubilant FoodWorks, said, We are off to a strong start in the fiscal year 2022-23 with record revenue, robust earnings and the launch of guest-centric innovations in our first quarter. The Dine-in and Takeaway channel registered a solid sequential growth while momentum continued in the delivery channel. We are excited by the opportunities ahead and believe we have the right strategy to navigate the challenging cost environment.
Jubilant Foodworks (JFL) is India's largest foodservice company and is part of the Jubilant Bhartia group. Incorporated in 1995, JFL holds the exclusive master franchise rights from Domino's Pizza Inc. to develop and operate the Domino's Pizza brand in India, Sri Lanka, Bangladesh, and Nepal. In India, JFL has a strong and extensive network of 1,625 Domino's restaurants across 349 cities.
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