Jubilant FoodWorks net profit for Q4 falls by 70% to Rs 28.54 crore

Jubilant FoodWorks Ltd on Wednesday reported a 70 per cent drop in consolidated net profit at Rs 28.54 crore in the March quarter, hit by higher expenses and cost of raw materials.

Jubilant FoodWorks said in a regulatory filing that the company posted consolidated net profit of Rs.96 crore in the period last year.

It added that consolidated revenue from operations in the fourth quarter was Rs.1,269.85 crore as against Rs.1,175.97 crore in the period last year.

The company said total expenses were higher at Rs. 1,205.15 crore as compared to Rs. 1,038.27 crore in the corresponding period last year.

The cost of raw materials consumed in the quarter was Rs.290.96 crore, up from Rs.254.96 crore in the same period in FY22.

The company, which holds exclusive franchise rights from Domino’s Pizza Inc. for India, Sri Lanka, Bangladesh and Nepal, along with exclusive rights to develop and operate Dunkin’ restaurants in India and Popeyes restaurants in India, Bangladesh, Nepal and Bhutan, said the company. 61 new stores opened in India in the fourth quarter.

“With the addition of 56 new stores and entry into six new cities, Domino’s has expanded the strength of its network to 1,816 stores in 393 cities,” it added.

The company also opened one new Popeyes restaurant and Hong’s Kitchen, bringing their network balance to 13 stores each. For Dunkin’, three new coffee stores have opened, and eight of the original 21 Dunkin’ stores are now under the new “Coffee-first” brand identity.

For the financial year ended 31st March 2023, consolidated net profit was Rs. 353.03 crore from Rs. 418.09 crore in the previous year, down by 15.56 per cent.

In FY23, consolidated revenue from operations was Rs.5,158.25 crore as compared to Rs.4,396.12 crore in FY22.

Jubilant FoodWorks Ltd Chairman Shyam S Bhartia and Co-Chairman Hari S Bhartia said, In FY23, the company has become a Rs 5,000 crore turnover company on the back of efforts to elevate consumer experience through its portfolio of brands, and making deep investments in commissioners . and digital assets for continued future growth while maintaining very high financial discipline.

On the outlook, they said: “There are near-term concerns about historically high inflation and slowing market growth, but we are confident in the ability of our unique ecosystem to capitalize on the potential that lies ahead and reorient the business to achieve sustainable profitable growth.