Jubilant FoodWorks (JUBLFOOD) Q4 14/15 earnings summary

Executive summary

• FY15 total income rose 20.4% to ₹20,745 million; EBITDA increased 3.0% to ₹2,628 million, while PAT declined 2.0% to ₹1,233 million.

• Domino’s Pizza India restored positive same-store sales growth from Q3; full-year SSG was 0.05% versus 1.6% in FY14.

• Expansion, menu innovation, digital ordering and cost discipline supported performance despite subdued consumer demand and industry-wide soft SSG.

Financial highlights

• Standalone revenue from operations was ₹20,744.65 million versus ₹17,234.99 million; total income was ₹20,745 million versus ₹17,235 million.

• Standalone EBITDA was ₹2,628 million, up 3.0%; PBT fell 8.0% to ₹1,721 million and PAT fell 2.0% to ₹1,233 million.

• Consolidated revenue from operations rose to ₹20,927.61 million from ₹17,363.09 million; consolidated PAT was ₹1,110.83 million versus ₹1,182.42 million.

• Standalone expenditure increased to ₹18,117 million from ₹14,685 million; raw materials were 25.12% of net sales versus 26.04%, while rent rose to ₹2,050 million from ₹1,549 million.

Outlook and guidance

• FY16 plans called for 150 new Domino’s Pizza restaurants, with further investment in online ordering to support sales growth.

• Dunkin’ Donuts planned 30 openings, expansion across West, South and North India, and menu development based on consumer insights.

• Priorities included market expansion, digital technology, supply-chain strengthening, marketing and innovation, infrastructure, cost efficiency, and developing skilled employees.

• Management expected improved economic indicators and consumer sentiment to support stronger growth momentum.