Q4 results today: What’s in store for Jubilant Foodworks & Devyani International

Jubilant Foodworks

Jubilant Foodworks net profit is expected to fall over 50% to Rs 54.7 crore for the quarter ended March, while sales are seen rising by a meagre Rs 1,175 crore.

Analysts expect 9-10% SSS decline and 7-8% LFL decline (non-split restaurants) for Domino’s, weakest samestore metrics across QSR brands.

“We estimate 1.5% YoY growth in standalone revenues despite 15% YoY growth in Domino’s store count to about 1,807 stores (+47 stores qoq). Our estimates imply a decline in average revenue per store of about 12-13% YoY on account of store splits and subdued demand due to high consumer inflation,” Kotak Institutional Equities said.

Devyani International
Devyani International’s net profit is likely to halve to Rs 37.8 crore during the March quarter. The company’s sales, however, will likely rise about 26% to Rs 746 crore.

KFC is likely to report low single-digit same-store sales growth (SSSG) whereas Pizza Hut should report mid single-digit SSS decline.”We expect revenues from other domestic brands and international outlets at Rs 51 crore and Rs 55.8 crore, respectively. We note that most QSR players witnessed a slowdown in demand starting November 2022, which continued in 4QFY23E attributable to impact of broad-based inflation on discretionary consumption,” Kotak said.

“We estimate 5/-135/60 bps qoq GM change in KFC/PH/Costa amid high dairy inflation. High RM inflation and lower operating leverage are expected to weigh on brand contribution (restaurant level) margin with KFC at 18.9% (-70 bps qoq), PH at 11.1% (-300 bps qoq) and Costa at 26.2% (-25 bps QoQ), respectively,” the brokerage said.

The company-level pre-Ind AS 116 EBITDA is estimated to be at Rs 92.5 crore (down 21% qoq) and EBITDA margin at 12.4% (down 240 bps qoq) as corporate overheads could increase to Rs 33.3 crore.