Jubilant Food.

Jubilant FoodWorks delivered a strong start to FY26, with consolidated revenue reaching INR 2,260 crores, marking a 17% year-on-year growth. Domino's India achieved an impressive 11.6% like-for-like growth and 17.3% order growth. The company added 71 net new stores during the quarter, expanding its total network to 3,387 stores across operating countries. Pre-Ind AS EBITDA grew by 18.2% to INR 292 crores, with margins at 12.9%, and consolidated PAT increased by 59.8% year-on-year.

Domino's India's strong performance was driven by accelerated menu innovation, rapid growth of digital assets, and decisive progress towards 20-minute delivery. Delivery like-for-like growth stood at 20.1%, even with free delivery now in the base. Mature store Average Daily Sales (ADS) reached a new high of INR 85,396, reflecting strong throughput and operational excellence. The delivery channel grew by 24.6% year-on-year, while dine-in also increased by 2.5% after a long period.

The company's digital ecosystem continues to scale, with monthly active users reaching approximately 15 million, up 21.5% year-on-year. App installs increased by 19.4% to 12.3 million, and loyalty members grew to 37 million, an increase of 48.6%. These metrics highlight the company's ability to drive consumer engagement and repeat business through its technology platforms, contributing significantly to overall growth.

Popeyes is gaining strong momentum, particularly in South Indian markets, exhibiting double-digit Same-Store Growth (SSG) and improving restaurant profitability quarter-on-quarter. The brand has expanded to West India, including three stores in Mumbai with two more under construction, and management expects the slower growth in store additions this quarter to be an aberration. The company aims to open 100-150 more Popeyes stores and reduce the brand's drag on overall JFL margins by half within the next two years.

The Turkey business delivered results as intended, proving PAT accretive, cash positive, and high on Return on Capital Employed (ROCE). It reported INR 519 crores in revenue with a 9.4% PAT margin. Despite moderated like-for-like growth due to CPI-led price lag, order volume grew healthily, and profitability improved through cost discipline and capital management. Coffy, the coffee brand in Turkey, now operates 167 cafes across 38 cities.

The company maintained its focus on cost reduction and capital allocation, leading to pre-Ind AS EBITDA growth of 18.2% and margin expansion. While gross margin dipped due to strategic value-led pricing, the extended IPL season, and the success of Big Big Pizza, these actions drove superior growth and new customer acquisition. Management expects margins to improve, targeting at least 200 basis points expansion on a stand-alone basis over a three-year period, driven by operating leverage and tight cost discipline.

Jubilant FoodWorks added 71 net new stores this quarter, bringing its total network to 3,387 stores. The company aims to build a 5,000-store franchise and plans to open 1,000 new stores in India over the next three years. The strategy involves calibrating store sizes based on location, with smaller stores (800-900 sq ft) for delivery-centric urban areas and larger stores (1,500 sq ft) for dine-in focused Tier 2/3 cities, ensuring optimal throughput and customer experience.

Management emphasized a calibrated approach to pricing, acknowledging consumer price sensitivity and the impact of price increases on elasticity, as seen with Big Big Pizza. They firmly rejected the idea of implementing platform fees, prioritizing customer trust and long-term business building. The focus remains on offering value-led propositions like the INR 99 lunch and Chicken Burst pizza, which have been well-received, to drive growth and customer acquisition.