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This Article is From Nov 13, 2020

Prabhudas Lilladher: Covid-19 Redefines Jubilant FoodWorks’ Business Model

Prabhudas Lilladher:  Covid-19 Redefines Jubilant FoodWorks’ Business Model
A sign for Domino’s Pizza is seen outside one of the company’s restaurant, operated by Jubilant Foodworks. (Photographer: Dhiraj Singh/Bloomberg)

BQ Blue's special research section collates quality and in-depth equity and economy research reports from across India's top brokerages, asset managers and research agencies. These reports offer BloombergQuint's subscribers an opportunity to expand their understanding of companies, sectors and the economy.

Prabhudas Lilladher Report

We are increasing FY21/22/23 earnings per share by 12.5%/4%/1.6% as Dominos has almost returned to normalcy (96.2% in October 2020) and is likely to emerge stronger from Covid-19 scenario given -

1. Sharp recovery in delivery and takeaway (5.8% and 49.8% YoY)

2. lower competition as several smaller players have gone out of business

3. closure of dine in focused 105 stores which will be replaced by smaller stores with effecective focus on delivery and takeaway

4. delivery charge of Rs 30 per order which will help improve margins in longer term.

Click on the attachment to read the full report:

DISCLAIMER

This report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the brokerage and do not represent the views of BloombergQuint.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

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