Jubilant FoodWorks Q1 net profit up 51.57 percent

August 11th, 2011 - 9:54 pm ICT by IANS  

New Delhi, Aug 11 (IANS) Jubilant FoodWorks, the operator of Domino’s pizza chain in India, Thursday reported an increase of 51.57 percent in its net profit for the first quarter of the current fiscal at Rs.23.16 crore, up from Rs.15.28 crore in the same period of 2010-11.

In a regulatory filing at the Bombay Stock Exchange (BSE), the company said its total income in the quarter under review rose by 60.81 percent at Rs.218.15 crore as against Rs.135.65 crore in the first quarter of the last fiscal.

The company attributed the growth trend to increase in its stores and product portfolio which translated into more orders.

Jubilant’s raw material expenditure in the quarter under review increased by 66.3 percent at Rs.55.24 crore as compared to Rs.33.21 crore in the first quarter of 2010-11.

The company said it has strengthened its supply and product sides to offset the effects of high food prices.

“Increase in food and employee costs is aligned to the company’s growth and to the increase in inflation levels,” the company said in a statement.

On investments, Jubilant said it plans to go ahead with plans to open 80 new outlets in the country in the fiscal with a capital expenditure of over Rs.70 crore.

“Last year we opened 70 stores with a capital expenditure of Rs.70 crore. This year we will open 80 stores and shift our factories in Mumbai and Kolkata and open a new factory in Chandigarh,” said company chief executive Ajay Kaul.

During the quarter, the company opened 14 new stores across existing cities and in three new cities.

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