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60% of Domino’s Pizza delivery orders are online orders

Jubilant Foodworks, the company which operates Domino’s Pizza and Dunkin Donuts in India, reported (pdf) that online orders contributed around 60% of delivery sales for the quarter ended December 31, 2017 (Q3 FY18). This is up from a 22.5% online ordering share in the same quarter last year. The company added that most of the orders (71%) of the online orders were placed through the mobile app, and has been growing steadily. In the same quarter last year, mobile app orders accounted for 56%. Note that the online delivery sales are exclusively for Domino’s Pizza.

The company also mentioned that the number of downloads of its mobile app stood at 9 million at the end of Q3 FY18, as compared to 5.3 million in the same period last year. In the previous quarter, the company’s app downloads stood at 7.8 million. Currently, Jubilant Foodworks has a network of 1128 Domino’s Pizza restaurants across 165 Indian cities.

The company is facing trouble running its Dunkin Donuts segment, mostly because it’s a low margin business. It makes more money by selling combo packs i.e. doughnuts coupled with Coffee/Burger, etc, but not all walk-in customers opt for a combo. This has subsequently led to a number of shutdowns on the Dunkin Donuts segment: last quarter in the same there were 73 Dunkin Donuts restaurants, and in Q3 it is 43 across 12 cities. Company’s CEO Pratik Pota said that Dunkin’ Donuts continued on its stated path of break-even with greater focus on Donuts and Beverages and closure of unprofitable stores.

Financials

Operating revenue: Rs 795 crore for Q3 FY18, up 20.7% YoY
EBITDA: Rs. 13.7 crore, up by 113.7% YoY
Profit after tax: Rs. 66 crore, up by 230.6% YoY

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    © 2008-2018 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ