Jubilant FoodWorks Q4 Result - Missed Expectations, Q1 FY22 Resilient Despite Lockdown: Motilal Oswal

A Domino's Pizza Inc. restaurant. (Photographer: Emily Elconin/Bloomberg).

Jubilant FoodWorks Q4 Result - Missed Expectations, Q1 FY22 Resilient Despite Lockdown: Motilal Oswal

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Motilal Oswal Report

We cut our FY22E/FY23E earnings per share forecast of Jubilant FoodWorks Ltd. by 12.5%/5.2% on account of:

  1. the company’s lower than expected Q4 FY21 result, and

  2. the effect of the lockdown so far in Q1 FY22 due to the second Covid-19 wave.

The impact would have been more if not for the resilience shown in April-May 2021, as per the management commentary.

Continued strong growth in the delivery channel has meant that the severe impact on dine-in was mitigated to some extent at the broader level.

This led to ~90% recovery compared to the pre-Covid-19 run-rate in these two months.

Click on the attachment to read the full report:

Motilal Oswal Jubilant FoodWorks Q4FY21 Result Update.pdf

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