 "Jubilant Foodworks")
Jubilant FoodWorks has dipped 8% to Rs 1,055 on BSE in intra-day after the company’s EBITDA (earnings before interest, taxes, depreciation, and amortization) margin declined 62 basis points to 9.7% in September 30, 2016 quarter (Q2FY17) from 10.3% in the same quarter last fiscal.
“EBITDA performance stands constrained due to the challenging operating environment. Rise in rental expenses and other manufacturing expenses further burdened EBITDA during the quarter,” Jubilant FoodWorks said in a statement.
The company reported 1.4% year on year (YoY) drop in net profit at Rs 21.6 crore in Q2FY17 against Rs 21.9 crore in Q2FY16.
“Net profit reflects the impact of curbed revenue growth and higher promotional activities on gross margins in the quarter on account of weak consumer sentiment,” it added.
Total income from operations grew 13.3% at Rs 666 crore on YoY basis. Revenues showed improvement on the back of enhanced volumes and positive same store sales growth (SSG) of 4.2% in Q2FY17 against 3.2% in Q2FY16 and negative growth of 3.2% in Q1FY17, the company said.
At 02:40 pm, the stock was down 7% at Rs 1,060, as compared to 0.97% decline in S&P BSE Sensex. A combined 3.11 million shares changed hands on the counter on NSE and BSE so far.
“EBITDA performance stands constrained due to the challenging operating environment. Rise in rental expenses and other manufacturing expenses further burdened EBITDA during the quarter,” Jubilant FoodWorks said in a statement.
The company reported 1.4% year on year (YoY) drop in net profit at Rs 21.6 crore in Q2FY17 against Rs 21.9 crore in Q2FY16.
“Net profit reflects the impact of curbed revenue growth and higher promotional activities on gross margins in the quarter on account of weak consumer sentiment,” it added.
Total income from operations grew 13.3% at Rs 666 crore on YoY basis. Revenues showed improvement on the back of enhanced volumes and positive same store sales growth (SSG) of 4.2% in Q2FY17 against 3.2% in Q2FY16 and negative growth of 3.2% in Q1FY17, the company said.
At 02:40 pm, the stock was down 7% at Rs 1,060, as compared to 0.97% decline in S&P BSE Sensex. A combined 3.11 million shares changed hands on the counter on NSE and BSE so far.
