Jubilant FoodWorks’ shares surged to a one-year high on Monday, following a significant doubling of its profit in the first quarter of fiscal 2025. The company’s net profit rose to Rs 58 crore in the quarter ended June 2024, up from Rs 29 crore in the same period last year.
The company, which operates Domino’s Pizza and Dunkin’ Donuts chains, has expanded its network by adding 52 new stores in India, taking the total count to 2,148 stores. Analysts have praised the company’s focus on delivery growth, with Jefferies upgrading the stock to “buy” and Citi reiterating its “buy” rating.
The company’s earnings before interest, taxes, depreciation, and amortization (EBITDA) rose 39% year-on-year to Rs 383 crore, with an operating margin of 19.8%. Shares of Jubilant FoodWorks rose as much as 3.81% to Rs 621.70 apiece, before trading 1.92% higher at Rs 611.70 apiece.
However, some analysts have expressed caution, with Motilal Oswal reiterating its “neutral” rating and warning of potential volatility. Out of 32 analysts tracking the company, 16 maintain a “buy” rating, eight recommend a “hold,” and eight suggest a “sell.” The average 12-month consensus price target implies a downside of 4.8%.
