Jubilant FoodWorks shares rose on Friday after strong Q1 earnings driven by growth at Domino’s India and a significant surge at Popeyes, with analysts optimistic about continued expansion and margin recovery.
Jubilant FoodWorks shares rose on Friday after the food service company reported higher June-quarter profit and revenue, with investors encouraged by stronger sales at Domino’s India and another sharp jump at Popeyes. The stock climbed as much as 6% in early trade and was still holding most of those gains by mid-morning, even as the Nifty 50 slipped.
The company said consolidated net profit for the first quarter of FY27 increased 6% from a year earlier to ₹100 crore, up from ₹94.33 crore in the same period last year. Revenue from operations rose 14% to ₹2,569.65 crore, while earnings before interest, tax, depreciation and amortisation increased 10.2% to ₹360 crore. Gross margin widened by 130 basis points to 75.5%, helped by pricing, a better product mix, supply-chain efficiencies and lower wastage.
Domino’s India remained the main business driver, with revenue rising 7.4% to ₹1,764.6 crore. Like-for-like sales improved to 2.5%, orders rose 6.5% and delivery revenue increased 12%. The chain expanded to 540 cities and added 19 new cities in the quarter, while Jubilant FoodWorks said its total network grew by a net 76 stores to 3,712 outlets.
Popeyes provided the other notable boost, with revenue surging 97% to ₹70.3 crore and like-for-like growth topping 40% for a third straight quarter. Motilal Oswal Financial Services upgraded Jubilant FoodWorks to “Buy” from “Neutral” and set a target price of ₹625, saying it sees scope for stronger growth in the next quarter and over the medium term, with Popeyes emerging as a second growth engine. The brokerage also said margin recovery should continue as productivity gains and supply-chain improvements help offset commodity inflation.
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