Jubilant FoodWorks Q3 Profit Soars 65% on Domino's Growth

Introduction

Jubilant FoodWorks Ltd, the operator of Domino's Pizza and Popeyes in India, announced a robust performance for the third quarter ending December 31, 2025. The company reported a significant surge in profitability and steady revenue growth, supported by a recovery in demand for its core brand, Domino's, continued expansion of its new ventures, and strong performance in its international markets. The results reflect improved operating efficiencies and successful strategic initiatives, including menu innovation and aggressive network expansion.

Detailed Financial Performance

The company's consolidated financial figures for Q3 FY26 showed strong year-on-year growth. Consolidated revenue from operations increased by 13.3% to ₹2,437 crore. This growth translated effectively to the bottom line, with consolidated net profit rising by a substantial 65.3% to ₹70.9 crore. The performance was further bolstered by improved operational leverage. Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) grew by 20.2% to ₹482.8 crore. Consequently, the EBITDA margin expanded by 110 basis points, moving from 18.7% in the corresponding quarter of the previous year to 19.8%.

Operational Highlights in India

The India business, which forms the core of Jubilant's operations, delivered a solid performance. Standalone revenue from operations grew by 11.8% year-on-year to ₹1,801.5 crore. A key driver of this growth was the performance of Domino's India, which recorded a like-for-like (LFL) growth of 5%. This figure is a crucial indicator of demand at existing stores and suggests a healthy recovery. The company's newer brand, Popeyes, also contributed significantly, continuing to register high double-digit LFL growth. These results were supported by strategic menu innovations, such as the launch of the Cheese Lava Pull Apart Pizza at Domino's and the nationwide rollout of Flavour Burst Burgers at Popeyes, which helped drive customer engagement.

Aggressive Network Expansion

Jubilant FoodWorks maintained its focus on aggressive expansion during the quarter. On a consolidated basis, the company added 114 net new stores, marking the highest quarterly addition in the last four quarters. This brought its total global network to 3,594 stores across all brands and geographies. In India, the expansion was also significant, with 78 net new stores added. This included 75 new Domino's outlets and five new Popeyes restaurants, taking the total store count in India to 2,528. The expansion of Domino's brought its total presence in the country to 2,396 stores.

International Business Performance

The company's international operations provided a meaningful contribution to its overall growth. The business in Turkey continued its strong trajectory, with revenue increasing by 15% year-on-year to ₹580.1 crore. Domino's Turkey also reported a healthy LFL growth of 6.3%. Management noted that the Turkey operations are now self-sufficient, servicing acquisition-related debt through their internal cash flows. The businesses in Sri Lanka and Bangladesh also reported continued growth, further strengthening the international portfolio.

Key Financial Metrics Summary

Management Commentary

The company's leadership expressed confidence in the quarterly performance. Chairman Shyam S. Bhartia and Co-Chairman Hari S. Bhartia highlighted the margin improvements across all levels and noted that international operations were becoming significant contributors to growth. CEO and Managing Director Sameer Khetarpal pointed out that Domino's delivered industry-leading LFL growth. He also emphasized the success of the company's digital strategy, with monthly transacting users on its apps growing 21% year-on-year to 5.7 million, which helped achieve the highest-ever sales in the month of December.

Market Context and Stock Movement

Investors reacted positively in anticipation of the strong results. Ahead of the earnings announcement on February 10, 2026, the shares of Jubilant FoodWorks Ltd closed 1.34% higher at ₹555.70 on the National Stock Exchange (NSE). The performance metrics reported by the company align with a broader recovery trend in the Quick Service Restaurant (QSR) sector, although Jubilant's growth outpaced many of its peers.

Analysis and Outlook

The Q3 results indicate a successful execution of Jubilant FoodWorks' multi-faceted strategy. The 5% LFL growth in Domino's India is a crucial positive, signaling a turnaround after periods of slower growth. The rapid expansion and strong performance of Popeyes demonstrate the company's ability to build and scale new brands successfully. Furthermore, the robust performance of the Turkey business provides a valuable hedge and a secondary engine of growth. The consistent increase in digital engagement suggests that investments in technology are paying off, creating a loyal customer base. Going forward, the company's focus will likely remain on disciplined store expansion, product innovation to drive demand, and leveraging its digital infrastructure to enhance customer experience and operational efficiency.

Conclusion

Jubilant FoodWorks delivered a strong all-around performance in the third quarter of fiscal year 2026, marked by healthy revenue growth, significant profit expansion, and improved margins. The results were driven by a recovery in its core Domino's business, rapid growth from Popeyes, and a solid contribution from international markets. With an aggressive expansion plan underway and a clear focus on innovation, the company appears well-positioned to sustain its growth momentum in the coming quarters.