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Domino's recovery and Popeyes growth

Jubilant Foodworks has identified Popeyes as the emerging second growth engine while the efforts to drive time in traffic to Domino's is producing visible results.

Dominos has reported a 6 percent rise in profits this quarter driven by growth in the core business and new store expansion. It is expected that the same store sales growth would improve substantially with time.

The company is focused on reviving Domino's dine-in and takeaway sales which have lagged the strong delivery business. 

Domino's has reported a strong like-for-like sales growth of 2.5 percent aiming to move to 5 to 7 percent over time. The company is focused on improving the average order value while balancing profitability and demand.

On the other hand Popeyes has seen like-for-like sales growth increase by 40 percent with product innovation, differentiated flavours and strong execution on the store openings. 

The company is increasingly diverting capital towards expanding Domino's and Popeyes outlets after spending substantial amounts in strengthening the supply chain and logistics.

Jubilant Foodworks aims to build Popeyes into a 1000 crore brand in the next three to four years.
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