Jubilant FoodWorks Shares Jump 9% After Q2 Results as MOFSL Says It Outperformed Peers

Jubilant Foodworks Shares Surge as Strong Q2 Results Lift Market Sentiment

Shares of Jubilant Foodworks, the master franchisee for Domino’s Pizza in India, rallied nearly 9 percent on November 14 after the company announced a robust set of financial results for the second quarter of FY26. The sharp uptick in market reaction reflects renewed investor confidence in the food-services major amid an increasingly competitive quick-service restaurant (QSR) landscape.

The stock touched an intraday high of ₹622.95, its strongest level in over a month, supported by heavy trading volumes and optimism around the company’s operational performance. The surge in Jubilant Foodworks shares follows a period of consolidation, during which the stock corrected nearly 20 percent over the past four months.

Jubilant Foodworks Q2 Results Show Solid Profit and Revenue Growth

The company reported a standalone net profit of ₹64 crore for the July–September quarter, marking a 23 percent year-on-year (YoY) increase compared to ₹52 crore recorded in the same period last year. The improvement in bottom-line performance was driven by higher revenue, better cost management and efficiency gains across the chain.

Revenue from operations registered a healthy 16 percent YoY growth to ₹1,699 crore, supported by both new store additions and improved system sales. Total expenses rose 15 percent to ₹1,620 crore, reflecting controlled cost escalation despite inflationary pressures in the broader QSR industry.

The company’s operating performance remained strong, with EBITDA growing nearly 16 percent YoY to ₹329.4 crore and EBITDA margin steady at 19.4 percent, indicating consistent profitability even in a mildly challenging demand environment. Jubilant Foodworks also reported group system sales of ₹2,746.5 crore, highlighting its growing scale and reach.

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Store Expansion Accelerates as Domino’s Network Crosses 3,100 Outlets

A key highlight of the quarter was Jubilant Foodworks’ aggressive expansion strategy. The company added 93 new stores during Q2, bringing the group’s total store count to 3,480. Of these, Domino’s alone contributed 81 new outlets, taking its India network to 3,179 stores.

The rapid pace of store additions reinforces the company’s long-term growth strategy and strengthens its leadership position in India’s highly competitive QSR market. Domino’s continues to dominate the pizza category, supported by strong delivery capabilities, digital ordering channels and a value-focused menu strategy.

Industry analysts believe that Jubilant Foodworks’ ability to expand its footprint while maintaining healthy margins demonstrates operational discipline and improved demand visibility for the upcoming festive and winter seasons.

Brokerages Say Jubilant Foodworks Outperformed Peers Despite Demand Headwinds

Brokerage reactions to the Q2 numbers were largely positive, even as the broader QSR segment continues to experience a mixed demand environment. According to Motilal Oswal Financial Services, Jubilant Foodworks delivered an “above-expectation performance” during the festive period in October 2025, benefiting from high footfall and promotional traction.

The brokerage expects momentum to continue through November and December, supported by the seasonality of Q3 and consumer-driven festive spending. Motilal Oswal maintained a ‘Neutral’ rating on the stock with a target price of ₹650, implying an upside of more than 13 percent from the previous closing price of ₹573.50.

One of the key contributors to margin stability, according to the report, was the GST-related input cost advantage, especially in ingredients like cheese and sauces. This led to approximately 50 basis points of margin expansion, part of which the company passed on to customers through selective price cuts—such as reducing the price of the Big Pizza from ₹899 to ₹799.

Motilal Oswal added that Jubilant Foodworks outperformed peers in both revenue growth and same-store sales growth (SSSG), despite operating in a macro environment marked by cautious consumer spending. With a 20 percent stock correction over recent months, the brokerage believes near-term downside risks remain limited.

Demand Outlook Strong as Company Positions for Festive and Year-End Uptick

Industry observers note that the QSR sector generally enters a strong seasonal phase in the latter half of the financial year. Jubilant Foodworks is expected to benefit from heightened demand during the festive period, increased social gatherings, and higher footfalls in malls and high-street locations.

Moreover, the company’s strategic focus on menu innovation, digital ordering, improved delivery efficiency and attractive pricing is expected to support continued growth in coming quarters. The management remains optimistic that sustained cost efficiencies and operational scalability will help maintain robust margins.

Market Outlook: Investors Watch Execution and Margin Stability

The sharp rally in Jubilant Foodworks shares indicates improving investor sentiment, driven by the company’s strong Q2 performance and resilient margin profile. Analysts believe that consistent store expansion, stable input costs and strong festive-season demand could help the company extend its growth trajectory.

For investors, the key monitorables will include sustained SSSG improvement, cost-control initiatives, and the performance of newer formats under the Jubilant Foodworks portfolio.

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