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Jubilant signals growth
Restaurant
Jubilant’s growth gives hope to the restaurant industry
Jubilant Foodworks is bellweather of Indian QSR industry. It operates QSR and cloud kitchen brands such as Domino’s, Hong’s Kitchen, Go Gourmet and Ek Dum Biryani. Pizza and Chicken QSRs are 60% of Western QSR market in India (worth INR 18000cr approx). As per Edelweiss Research Jubilant may post 11–15 per cent revenue and operating profit growth over FY20–23.
As per Business Standard: Popeyes Restaurants is the world’s third largest QSR chicken brand. The QSR chicken market size run by larger chains is estimated at around Rs 3,000 crore, in which KFC dominates controlling about two thirds of the market, estimates Emkay Research. Westlife Development (McDonald’s) recently ventured into this space in South India.
Edelweiss Research reported that chicken QSR had grown at 12% compounded annual growth rate between 2014 and 2020. Jubilant’s entry into chicken QSR signals opportunities for smaller and regional brands.
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