INDIA – Domino’s Pizza and Dunkin’ Donuts food chain operator, Jubilant FoodWorks has reported a 46% increase in net profit to US$13.52 million in the third quarter ended December 31, 2018.
Revenue for the period was US$130.24 million (Rs 929 crore), up 17% compared to US$111.43 million recorded in the corresponding period in the year 2017.
According to the company, all right performance in the period was aided by new product launches in the market, which contributed to sales and revenues through expansion of customer base.
“We have demonstrated strong all-round performance in Q3 FY19, led by robust same-store sales growth (SSSG) of 14.6% reported in Domino’s Pizza.
This was accompanied by tight control of operating costs that led to EBITDA margins improving to a seven-year high of 18.4%.
In addition, Dunkin’ Donuts also broke even during the quarter, ahead of the targeted Q4 timeline.
We are happy with our performance and confident of the prospects ahead, as evident in the 35 new stores opened in Q3, the highest in eleven quarters,” said Pratik Pota, CEO and Whole Time Director of Jubilant FoodWorks.
It was aided by a 14.6% rise in same-store sales of Domino’s Pizza and Dunkin’ Donuts breaking even ahead of the targeted timeline.
Earnings before interest, tax, depreciation and amortisation rose 24.7% to US$23.85 million while operating margin expanded to 18.4% from 17.2% a year ago.
New initiatives
Domino’s India launched new Multigrain Crust and introduced four new side dishes; Potato Cheese Shots, Crunchy Strips, Crinkle Fries and Brownie Fantasy.
The company launched 35 new stores with a goal to expand its customer base while offering a new variety of product portfolio to enhance customer satisfaction and experiences.
The company said Dunkin’ Donuts delivered break-even in the quarter on the back of strong growth in the core portfolio of Donuts and Beverages, and through cost management strategies.
Jubilant FoodWorks operates a network of 1,200 Domino’s Pizza restaurants across 271 cities with exclusive rights to develop and operate Domino’s Pizza brand in India, Sri Lanka, Bangladesh, and Nepal.
It also operates 32 Dunkin’ Donuts restaurants across 10 cities in India.