Jubilant FoodWorks' Q1 operating revenues see a growth of 9.9%

Jubilant Foodworks Limited (JFL), which has become the largest foodservice company in India, is bringing Popeyes to India, Bangladesh, Nepal and Bhutan.

The group has entered into an exclusive Master Franchise and Development Agreement with PLK APAC Pte. Ltd., a subsidiary of Restaurant Brands International Inc.(RBI), to develop, establish, own and operate hundreds of Popeyes^® restaurants in the region.

Also Read: Jubilant Foodworks to acquire Fides Food that owns Domino’s in over 4 countries

“We are happy to announce the signing of a multi-country agreement to acquire the exclusive rights to operate and sub-license the iconic Popeyes^® brand in India and neighbouring countries,” shared Shyam S. Bhartia, Chairman and Hari S. Bhartia, Co-Chairman, Jubilant Foodworks Limited by adding that Chicken is one of the largest and fastest growing categories in India and is expected to grow rapidly in years to come. “Popeyes^®will be an exciting addition to the JFL portfolio and is expected to become one of the key drivers of growth for us in the coming years,” they added.

Founded in New Orleans in 1972, Popeyes^® has more than 45 years of history and culinary tradition. Popeyes^® distinguishes itself with a unique New Orleans style menu featuring the iconic chicken sandwich, spicy chicken, chicken tenders, fried shrimp, and other regional items. Popeyes^® uses proprietary seasonings and techniques developed by an in-house culinary team of chefs that makes its fried chicken a point of reference for Michelin Chefs and celebrities.

It has over 3,400 restaurants in over 25 countries around the world.

“We’re excited to introduce our iconic Louisiana-style chicken to a new population in the world that already celebrates and loves bold and delicious flavours. At Popeyes^®, we believe that the best food takes time, we marinate our chicken for 12 hours in bold Louisiana seasonings, then hand batter and slowly cook it to make it the juiciest and crispiest chicken that I think our guests will ever have,” added David Shear, President International at RBI.

May Interest: “Jubilant FoodWorks now among top 100 companies by Market cap”, tweets Pratik Pota

Since its acquisition by RBI, Popeyes^® has expanded successfully into Spain, Switzerland, China, Brazil, Sri Lanka and the Philippines over the past few years. Popeyes^® will also enter the United Kingdom and build its presence in Mexico starting in 2021, with plans to open several hundreds of restaurants across both countrie]l

Jubilant FoodWorks Limited (JFL) has reported its financial results for the quarter and half year ended 30^th September 2018.

EBITDA for Q2 FY19 came in at Rs 1,475 million at 16.7% of revenue, a growth of 44.4% over Q2 FY18. Profit after Tax in Q2 FY19 was at Rs.777 million at 8.8% of revenue and a growth of 60.2% over Q2 FY18.

Operating Revenues for Q2 FY19 were Rs 8,814 million, a growth of 21.3% over Q2 FY18 and a sequential growth of 3.1% over the previous quarter, driven by a strong Same Store Growth (SSG) of 20.5% in Domino’s Pizza.

The strong performance in Q2 FY19 was a result of continued momentum driven by strategic initiatives taken during the recent past such as the product upgrade All New Domino’s, Every Day Value (EDV) extension to regular pizza and the continued momentum of online sales driven by the new Domino’s app.

The company stepped up the store opening momentum during the quarter, with 24 new Domino’s stores being opened, the highest in the last seven quarters.

Dunkin’ Donuts too did well with strong growth driven by Donuts and Beverages; its losses more than halved over last year.

Shyam S. Bhartia, Chairman, and Hari S. Bhartia, Co-Chairman, Jubilant FoodWorks Limited, said, "We are pleased with our Q2 FY 19 performance. Strong growth momentum continues to be driven by successful execution of growth strategy outlined at the beginning of FY 2018."

Pratik Pota, CEO and Whole-time Director, Jubilant FoodWorks Limited, said, "Despite significantly increased competitive intensity, Q2FY19 was yet another strong quarter delivered by our continued focus on the basics. Growth was driven by a strong and sustained momentum in Delivery Orders. In particular, our Digital focus showed good results with strong online sales growth, enabled by the new Domino’s App garnering strong user ratings and having a slew of innovative and user-friendly features. Dunkin’ Donuts too delivered healthy growth and is moving towards profitability."

Domino's Pizza and Dunkin' Donuts chain operator in India, Jubilant Foodworks has posted a net profit of Rs 68.1 crore for the fourth quarter of the financial year 2017-18 ending March 31, the company said in its earnings announcement. The company had posted a net profit of Rs 6.7 crore during the same period last year.

The company reported 27 percent rise in its revenue to Rs 780 crore in the fourth quarter as compared to Rs 612 crore it posted during the corresponding period last fiscal.

For the full year, Jubilant posted a net profit of Rs 206 crore as opposed to Rs 67.2 crore it posted last year.

For the financial year 2017-18, operating revenues stood at Rs.2980 crore, up by 17.1 percent over last year, driven by a full year same-store growth of 13.9 percent in Domino’s Pizza, the company said.

“We are pleased with our performance in Q4 FY 18. Our key strategic initiatives undertaken in the past one year such as the launch of All-New Domino’s, Everyday 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," said Pratik Pota, CEO and Whole Time Director at Jubilant FoodWorks.

"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. Going forward, we will remain focused on the strategic pillars of Product Quality and Innovation, Value-for-money, Seamless Customer Experience and Digital Technology and are confident that these will help us deliver robust growth," Pota said further.

Jubilant FoodWorks, operator of Domino's Pizza and Dunkin Donuts chain in India reported more than three-fold increase in its net profit at Rs 66 crore for the third quarter ending December 31.

The operator of the biggest pizza chain in the country has posted a revenue growth of Rs 795.20 crore, up 21 percent from Rs 659 crore year on year.

“We are happy to demonstrate a continuing solid performance during the quarter. Our emphasis on driving the key strategic pillars is translating into healthy same-store sales growth YoY while setting the base for consistent growth in line with the potential of the QSR space" shared Shyam S. Bhartia, chairman, and Hari S. Bhartia, co-chairman of Jubilant FoodWorks.

"The lowering in the rate of applicable GST to 5% has allowed us to demonstrate our commitment to deliver the best value proposition as we passed on the benefits of the lower tax rate to the customers. We believe this to be a positive change, one that will impact the restaurant industry favourably," they said further.

According to the company, the same store sales growth in the third quarter of the financial year 2017-18 grew to 17.8 percent as against 3.3 percent it reported during the last financial year.

“We are pleased to report a strong set of results for Q3FY18. Our sharp focus on the consumer through a significantly improved product in the form of All-New Domino’s along with Every Day Value pricing has led to a robust 17.8% SSG for Domino’s” quoted Pratik Pota, CEO and whole time director of Jubilant FoodWorks.

Jubilant FoodWorks, which operates Dominos Pizza and Dunkin Donuts chains in India, today appointed Prakash C Bisht as the Chief Financial Officer (CFO) with immediate effect.

In his new role, Bisht will lead finance and accounts, secretarial and legal functions of the company.

Bisht brings with him over three decades of experience in financial reporting, M&A transactions, fund raising and corporate structuring, among others.

He earlier worked at Apollo Tyres for 15 years in various roles, the last being the leadership role as Head (Accounts).

A green body alleged that fast food majors in India were adopting "double standards" by committing themselves to eliminating misuse of antibiotics in meat supply chains in a time-bound manner in the West but not in India.

Centre for Science and Environment (CSE) released an assessment report based on data in public domain and response obtained from several multinational companies and three Indian firms selling fast food in the country.

Deputy Director General of the CSE, Chandra Bhushan said “Our study shows that these fast food MNCs do not have any India-specific commitments to eliminate misuse of antibiotics in their meat supply chains. Surprisingly, these global giants have made ambitious, specific and time-bound commitments in the US and other countries to eliminate antibiotic misuse owing to growing pressure from regulators and other stakeholders. This is sheer "double standards".

Jubilant Foodworks, a domestic franchise for the US-based popular chain Domino's Pizza, said "We follow global standards and processes, and ensure that the highest standards of quality and food safety and hygiene are maintained across our supply chain. It has a formal policy in place on usage of antibiotics in poultry birds' health management to guide their sourcing of poultry.  We have always had a set of standards followed while sourcing poultry for our products, ensuring that our suppliers follow the right farm practices”.

KFC said in a statement “it adheres to all laws and regulations regarding the use of antibiotics. Furthermore, as part of our strict adherence to robust safety practices and processes, chicken supplied to KFC India is free from any antibiotic residue, as our chicken supplies are subjected to a withdrawal period specific to each medicinal treatment”.

Head, Food Safety and Toxins programme at CSE, Amit Khurana said "Fast food is not good for health and on top of that if the meat is sourced from an animal injected with antibiotics for growth promotion (non-therapeutic use), then it's a double whammy for the consumer. A person may or may not get affected after consuming such food. While some others shared their practices of sourcing and testing, they did not specify any timelines by which they planned to eliminate antibiotic misuse”.

Jubilant FoodWorks Ltd., the largest QSR operator in the country and the market leader in the pizza segment, today announced the creation of a new digital team to spearhead the technology and digital thrust of the company, to be headed by Anand Thakur as its Chief Digital Officer.

Speaking on the announcement Mr Pratik Pota, CEO, Jubilant FoodWorks Limited said, “Earlier this year, we had unveiled our Strategy for Growth, as part of which we had identified Digital Transformation as a key pillar. Pursuant to this, we are creating a full-fledged Digital team that will look at improving our customer experience through upgrading our Digital assets, driving data analytics, improving our store technology and strengthening our digital marketing. I am delighted to announce that Anand Thakur will be joining us and leading this exciting growth agenda. Anand comes with a wealth of experience in Digital and Technology across different organizations. We are confident that Anand will be instrumental in helping us build a digital organisation which is agile & capable of delivering a smooth and seamless customer experience across all access points.”

Newly appointed Chief Digital Officer, Anand Thakur said, “I am thrilled to join an iconic company like Jubilant. The Domino’s brand has redefined the use of technology in the business of food delivery and with an interesting road ahead, I am excited to be part of its transformational journey.”

Currently, Anand is Chief Technology Officer with Koovs.com, an e-commerce platform and is also an ex-entrepreneur and a computer scientist with over 14 years of experience. He will be joining Jubilant FoodWorks Limited soon. Anand’s areas of expertise lie in ecommerce, application design and architecture, managing start-ups, software development and product management among others.  He has previously worked with brands such as Lenskart, Adobe, Perot System and Infosys. He also had a brief stint as an entrepreneur with his venture EasyRation.

Jubilant FoodWorks, which operates Dominos Pizza and Dunkin Donuts chains in India, has reported strong financial results for the first quarter ended 30June, 2017.

Operating revenues for Q1 FY18 came in at Rs 6788 million, up 11.5% over Q1 FY17. This was driven by a robust Same Store Sales growth of 6.5% in Domino’s Pizza, the highest since Q1 FY16. Overall Profitability also saw significant improvement with EBITDA for Q1 FY18 increasing by 38% to Rs 796 million. The Q1 FY18 EBITDA margin at 11.7% was the highest in the last 8 quarters.

The Profit after Tax in Q1 FY18 stood at Rs 238 million, an increase of 26% over the corresponding period last year. PAT also reflects the adverse impact of Rs 90 million on account of restaurants closure. PAT Margins at 3.5% were the highest since Q1 FY17.

Shyam S. Bhartia, Chairman and Hari S. Bhartia, Co-Chairman, Jubilant FoodWorks Limited said, "We are happy to report a strong, all-round Q1 FY18 performance. We took a number of actions in the quarter towards driving innovation, delivering value and controlling costs, and we are pleased to see that our disciplined focus on driving profitable growth has begun having the desired impact. The performance strengthens our confidence in the underlying growth potential of our brands and the ability of our business model to unleash it."

Pratik Pota, CEO & Whole time Director, Jubilant FoodWorks Limited said, "At the beginning of the quarter, we had unveiled our new strategy for driving profitable growth. Today I am pleased to share encouraging progress in the execution of the strategy as reflected in our strong Q1FY18 performance. Our focus on delivering better Value for money and driving innovation has helped bring back strong growth in Domino’s Pizza. We have also made significant progress towards reducing losses and building a sustainable business in Dunkin’ Donuts. Additionally, our discipline of controlling costs and driving efficiencies has helped improve overall operating margins. Going forward, we will continue to drive the strategic pillars of Product and Innovation, Value, Customer Experience, Technology and Cost Efficiencies."