Street View - India's Jubilant faces dilemma between growing the pie and boosting profit

Jubilant FoodWorks

14/11/2025 04:57

Domino's India operator Jubliant Foodworks reports a near tripling of quarterly profit from last year and strong revenue growth also driving gains in its shares.

** Jubilant Foodworks JUBI.NS jumps 8.3% to 621.2 rupees after Q2 results, set for best one day pct rise in 15 months, if gains hold

** Revenue jumps nearly 20% and like for like growth of ~9% outperforms industry

MARGIN EXPANSION A 'KEY INVESTOR CONCERN'

** Emkay Global (maintains 'buy' and PT of 825 rupees) says slow margin expansion has been a key concern for investors despite industry-leading topline growth

** Ambit Capital (maintains 'sell'; PT marginally higher at 580 rupees) says delivering margin expansion would be difficult without impacting growth momentum, adding it sees "downside risk" to margin guidance

** Antique Stock Broking (maintains 'hold'; cuts PT to 600 rupees from 670 rupees) says profitability will see moderate expansion as cheaper offerings dominate, and price hikes remain limited

** Adds, optimism about recovery in performance already factored into valuation

** JUBI rated 'buy' on averge by 29 analysts; median PT at 715 rupees

** JUBI down ~14.5% YTD

 (Reporting by Ananta Agarwal in Bengaluru)

 ((Ananta.Agarwal@thomsonreuters.com))