Jubilant Foodworks Share Climbs 4% As Business Update Inspires Investors of Domino's Pizza Operator

Mumbai, July 7: Shares of Jubilant FoodWorks, the operator of Domino’s Pizza in India, gained as much as nearly 4% on Tuesday after the company reported a strong business update for the June quarter, driven by healthy revenue growth, robust same-store sales and continued store expansion. As of writing the stock was up 3.3% at Rs 452.6.

The company reported a 14.1% year-on-year increase in consolidated revenue from operations during the first quarter of FY27, reflecting sustained demand across its quick-service restaurant (QSR) portfolio despite a competitive consumption environment.

Healthy same-store sales growth

Jubilant FoodWorks said Domino’s India posted like-for-like (LFL) growth of 2.5% during the quarter.
The company continued to witness broad-based growth across formats, aided by product innovation, value offerings and investments in digital capabilities. The strong LFL growth, as noted by brokerages, suggests consumer demand remained resilient despite inflationary pressures on discretionary spending.

Store additions support expansion

Jubilant FoodWorks maintained its aggressive expansion strategy during the quarter, adding 76 net stores across its brands. The expansion included new Domino’s outlets as well as additions under Popeyes and Hong’s Kitchen, taking the company’s overall store network to over 3,700 outlets.

The operator of Domino’s Pizza in India got a great review from investors over its business update. Source: NSE

The company has been focusing on increasing penetration in smaller cities while strengthening its presence in existing markets. Analysts believe the continued pace of expansion positions Jubilant FoodWorks well to capture long-term growth in India’s organised QSR market.

Brokerages remain constructive

Following the business update, a brokerage retained its ‘Neutral’ rating on the stock. The brokerage acknowledged the healthy operating update but noted that much of the near-term optimism appears to be reflected in the current valuation.

Analysts, however, remain positive on the company’s long-term growth prospects, citing sustained same-store sales growth, continued store expansion and improving execution across brands. They also expect operating leverage to improve as newer businesses mature over time.

Focus shifts to quarterly earnings

Investors will now await Jubilant FoodWorks’ detailed June-quarter earnings later this month for greater clarity on margins, profitability and management’s outlook for the remainder of FY27.
The company’s ability to sustain same-store sales growth while expanding its store network will remain a key monitorable, especially as competition intensifies in India’s fast-growing quick-service restaurant market. Tuesday’s rally suggests investors remain optimistic that the Domino’s operator can continue delivering healthy growth despite a mixed consumer demand environment.

Source: https://www.nseindia.com/get-quote/equity/JUBLFOOD/Jubilant-Foodworks-Limited