After the reports of the QSR industry slowdown did the rounds, many were apprehensive about the future of the fast-food industry. A fast-food kiosk being a low-risk venture seems like the most lucrative option for aspiring restaurateurs, which has led to high competition for the established brands like Domino’s, KFC, McDonalds etc, and resulted in the overall slowdown.
Jubilant FoodWorks plans to open 130-140 new Domino’s Pizza outlets and 20 new Dunkin Donuts restaurants across the country in the current fiscal year.
Earlier, Jubilant FoodWorks had reported a 6.56% decline in standalone net profit at Rs 29.46 crore on higher expenses account, for the quarter ended March 31, 2016.
The net sales, however rose to 617.83 crores for the quarter under review, up 13.99% from 542 crore, compared to a year ago.
“Restaurant expansion continues to a core priority in order to expand reach. Aligned to this, for financial year 2016-16, target of (opening) around 130-140 new Domino’s Pizza and around 20 new Dunkin’ Donuts.” Jubilant FoodWorks said in a corporate presentation.
The food service major also added that it would “focus on digitization and reaching a wider audience through online ordering.”
Things are looking rosy for corporate brands as the delivery boys, who had earlier quit their food delivery jobs to join e-commerce delivery services, are now returning back to their old jobs.
McDonald’s also reported an 8.4 same-store growth (SSSG) during the Jan-March quarter, the highest in the last three years. Westlife Development, which handles the McDonald’s chain in West and South India, revealed that they plan to double the number of restaurants by 2022.
Source: The Economic Times