Jubilant FoodWorks, the master franchisee for Domino’s Pizza in India, ended the January–March quarter of FY25 with profits down nearly 77%, even as customers continued flocking to its outlets and ordering online in droves.
The company reported a net profit of just ₹48 crore for the quarter, a steep fall from ₹207.5 crore in the same period last year. The sharp dip came as a surprise, especially since revenue from operations actually jumped by 33.6%, reaching ₹2,103 crore—up from ₹1,574 crore in Q4 of FY24.
The numbers paint a mixed picture. On one hand, Domino’s saw healthy demand, with more people ordering than ever before. Order volumes climbed 24.6%, and revenue from the Domino’s business alone rose by 18.8%. Jubilant also expanded its footprint with new stores and experimented with menu innovations to keep up the momentum in the quick-service restaurant space.
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But that growth came at a cost. Total expenses shot up by over 32%, touching ₹2,044.9 crore for the quarter. Whether it was higher raw material prices, delivery logistics, or promotional spends, the cost pressures clearly outweighed the topline gains.
Operationally, the company did manage to boost its EBITDA to ₹389 crore—a 24.7% improvement over last year’s ₹312 crore. But that wasn’t enough to protect margins, which slipped from 19.8% to 18.5%.
In short: people are ordering more pizzas than ever, but it’s costing the company more to get them made and delivered. For Jubilant FoodWorks, the challenge going forward will be clear—how to keep riding the QSR wave without letting margins melt like mozzarella.
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With rising inflation, stiffer competition, and a consumer that’s spoilt for choice, the road ahead isn’t without hurdles. But one thing’s for sure—India’s appetite for quick, cheesy comfort food is still going strong.
