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Key Points

Jubilant FoodWorks, the operator of Domino's Pizza in India, reported a significant 77% drop in net profit for the fourth quarter of FY25. Despite this, the company saw a notable 34% increase in revenue, driven by strong demand and strategic store expansions. Total expenses surged over 32%, leading to narrower profit margins. The expansion continues with 52 new outlets and a growing customer base through its loyalty program.

Key Points: Jubilant FoodWorks Reports 77% Profit Drop in Domino's Q4 Earnings

  • Jubilant's Q4 profit falls despite 34% revenue growth
  • Expenses rise steeply affecting margins
  • Domino's India expansion sees 52 new outlets added
2 min read

Domino's Pizza India operator Jubilant FoodWorks' Q4 net profit drops 77 pc

Jubilant FoodWorks, Domino's India operator, sees Q4 profit fall 77% despite 34% revenue growth.

"If approved, the dividend will be paid within 30 days of the meeting. - Company Filing"

Mumbai, May 14

Jubilant FoodWorks Ltd, the operator of Domino's Pizza in India, on Wednesday reported a sharp 76.86 per cent drop in its consolidated net profit for the January-March quarter (Q4) of FY25.

The company posted a net profit of Rs 48 crore in Q4, compared to Rs 207.5 crore during the same period last fiscal, as per its stock exchange filing.

This steep decline in profits came despite a robust 33.6 per cent rise in revenue from operations, which climbed to Rs 2,103 crore from Rs 1,574 crore in Q4 FY24.

The growth was driven by strong demand in the quick-service restaurant (QSR) segment, new store openings, and innovative menu offerings.

However, the company's total expenses surged by 32.31 per cent to Rs 2,044.9 crore in the fourth quarter, up from Rs 1,545.4 crore in the same quarter last fiscal.

Earnings before interest, taxes, depreciation, and amortisation (EBITDA) rose 24.7 per cent year-on-year (YoY) to Rs 389 crore from Rs 312 crore.

However, EBITDA margin declined slightly to 18.5 per cent, compared to 19.8 per cent a year ago, according to its filing.

Domino's, the company's flagship brand, recorded an 18.8 per cent growth in revenue, supported by a 24.6 per cent increase in order volumes.

Jubilant FoodWorks added 52 new Domino's outlets and entered nine new cities, bringing its network to 2,179 stores across 475 cities.

Its loyalty programme also continued to grow, reaching 33.7 million members.

The company's board has recommended a final dividend of Rs 1.2 per equity share for FY25, subject to shareholder approval in the upcoming AGM.

"If approved, the dividend will be paid within 30 days of the meeting," the company stated in its filing.

On the market front, shares of Jubilant FoodWorks closed 1.26 per cent lower at Rs 692.85 on the National Stock Exchange (NSE) on Wednesday.

- IANS

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Reader Comments

R
Rajesh K.
This shows how inflation is hitting even big food chains. Domino's prices have gone up so much in last 2 years - a medium pizza now costs nearly ₹500! No wonder profits are down despite more orders. People are cutting back on luxuries like pizza deliveries.
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Priya M.
Interesting how they're expanding to new cities but profits are falling. Maybe they should focus on improving quality rather than quantity? Last time I ordered, the pizza was soggy and toppings were sparse. Indian customers deserve better for these prices! 🍕
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Amit S.
The 33.7 million loyalty members stat is impressive! But with 77% profit drop, it shows discounts and offers are eating into margins. As an investor, I'm concerned - maybe they need to rethink their discount-heavy strategy. Too much dependence on BOGO offers.
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Sneha R.
Domino's was our go-to for quick meals, but now we prefer local pizza places or homemade. Better value for money! Also, their Indian flavors like Peppy Paneer haven't changed in years - need more innovation to justify premium pricing. #MakePizzaGreatAgain
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Vikram J.
The operational costs must be skyrocketing - delivery fees, ingredient prices, staff salaries. But ₹1.2 dividend per share is just tokenism. They should either reinvest properly or give meaningful returns to shareholders. Disappointing performance for a market leader.
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Neha T.
Still ordering Domino's because of their reliable delivery time ⏱️ But yes, the magic is fading. Maybe they should learn from McDonald's India - better localization and value meals. Their garlic bread is still the best though! 😋 Hope they turn around next quarter.

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