Jubilant FoodWorks shows recovery in Domino’s India

Jubilant FoodWorks Limited reported Q2 FY27 consolidated revenue of ₹2,608.7 crore, up 11.9% YoY. Domino’s India delivered 4.1% like-for-like growth, up from 2.5% in the previous quarter, while the company added 88 Domino’s stores. The encouraging part of this update is not the 11.9% group revenue growth. It is the improvement in Domino’s India like-for-like growth. That is a better indicator of underlying demand because it strips out the benefit from opening new stores. The 4.1% LFL growth is still moderate, though. Jubilant FoodWorks added 88 Domino’s stores during the quarter, taking the India network to 2,601 outlets. Rapid expansion can support revenue growth, but the investment case becomes stronger only if existing-store growth improves alongside the new-store contribution. There is also a clear contrast within the portfolio. Domino’s Eurasia reported a 2.1% decline in LFL sales. This makes India the more important growth engine for the group. My view: The Q2 update is a step in the right direction for Domino’s India. But I would not extrapolate the recovery too aggressively yet. The key question is whether LFL growth can move towards mid-single digits while store additions continue. What I am watching next: Domino’s India LFL growth, mature-store sales productivity and whether margins improve despite higher commodity and operating costs.