Share of Jubilant FoodWorks Limited (JBL) rose 13 per cent to hit an all-time high of Rs 3,449.90 on BSE today after the company reported a strong set of numbers for the quarter ended June 2021.
The company reported a net profit of Rs 63 crore for the quarter ended June 2021 compared to a net loss of Rs 72.6 in the year-ago period. Revenue from operations grew 131 per cent to Rs 879 crore in the June-ended quarter against Rs 380 crore a year ago. JBL said its higher revenue in the first quarter was driven by Domino's like-for-like sales growth of 120.4% and store growth of 114.2%.
"The growth in the delivery channel, which grew by 123.7%, mitigated the impact on account of the dine-in channel being shut for a long time and mobility restrictions impacting the takeaway channel," it added.
The stock opened 5 per cent higher at Rs 3215.00 against the previous close of Rs 3062.80. Market cap of the firm rose to Rs 45,178.28 crore on BSE.
It has gained 102 per cent in the last one year and risen 10.5 per cent since the beginning of this year. The share stands higher than 5 day, 10 day, 20 day, 50 day, 100 day, and 200 day moving averages.
"Q1 FY22 was one of the most challenging quarters with the sudden onslaught of the second wave of the pandemic," the company said in a statement.
According to MarketsMojo, the company has a strong ability to service debt as the company has a low Debt to EBITDA ratio of 0.80. However, the valuation is very expensive and the technical trend has also deteriorated from Bullish and the Stock is technically in a Mildly Bullish range right now.
During the quarter, the company said it opened 29 new stores -- including 20 new Domino's stores and 3 new stores each for Hong's Kitchen, Ekdum! and Dunkin'' Donuts -- despite the on-ground disruption caused by the second-wave of COVID-19.
Commenting on the performance for Q1 FY22, Shyam S. Bhartia, Chairman and Hari S. Bhartia, Co-Chairman, Jubilant Foodworks Limited in a joint statement said, "Q1 FY22 was one of the most challenging quarters with the sudden onslaught of the second wave of the pandemic. Given the severity of the situation, our most important priority during the quarter was to support our employees and their families."
"We are extremely proud of the manner in which the team came together to deliver a strong and resilient performance. With vaccinations well underway, we believe that the worst is behind us and we are confident of delivering strong, sustained growth in the periods ahead," they added.
The company also launched its nationwide campaign, #HaathBadhaoIndia #VaccineLagaoIndia, which urges everyone to come together and get vaccinated for a better, brighter tomorrow.
"In the campaign, the brand is thanking people who have got vaccinated or plan to get vaccinated by giving ?400 off exclusively on the Domino's App. Consumers have to click on the respective tab on the Domino's App to avail of this. So far, 1.3 million consumers have committed to the vaccination movement by clicking on the App," the company said in a separate press release.
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