Jubilant Foodworks, which holds the master franchise for Domino's Pizza in India, is expected to register a 1.6 percent growth in fourth quarter profit Rs 32 crore compared to year-ago period, according to analysts polled by CNBC-TV18. Earnings will be announced on May 28.
Revenue is likely to increase 17 percent year-on-year to Rs 634 crore due to volume growth led by increase in promotions. Jubilant has taken around 7 percent price hike year-to-date which may further lift sales.
Analysts expect same-store-sales growth at around 5 percent against 6.6 percent in same quarter last year and 2 percent in December quarter.
Profit growth may lag EBITDA growth due to higher depreciation.
Operating profit (EBITDA - earnings before interest, tax, depreciation and amortisation) may grow 10.3 percent to Rs 77 crore but margin may see contraction at 12.1 percent against 12.9 percent YoY, impacted by high employment benefits and rent.
Gross margin expansion may moderate owing to rising wheat prices and promotional intensity.
Key factors to watch out for:-Competition continues to impact business but this may be mitigate by new stores in Dominos and Dunkin.-Online order stats, mobile ordering-Updates on tie up with Inox, IRCTC
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