Jubilant Foodworks profit falls 42.66% despite 11.44% revenue growth
Costs grew faster than revenue year on year, while lower interest and a lower tax rate supported sequential profit growth.
Filed 06 Nov 2026, 15:20 IST · Jubilant Foodworks Ltd (JUBLFOOD)
Key takeaways
- Consolidated net profit fell 42.66% year on year despite revenue growth of 11.44%.
- Operating margin narrowed 0.67 percentage points year on year as expenses grew 12.38%, faster than revenue.
- Operating margin recovered 0.07 percentage points sequentially to 19.68%, staying 8.26 percentage points above the 11.42% median for 287 reported sector peers.
Price around the results
Revenue growth remained intact, but profit conversion weakened
Consolidated revenue grew 11.44% year on year, while profit before tax increased only 2.76%, leaving net profit down 42.66%. The sequential picture was better: revenue rose 1.49% and net profit increased 11.56%, helped by a 6.99% decline in interest expense.
Cost growth pulled down the year-on-year margin
Expenses grew 12.38% year on year against 11.44% revenue growth, narrowing operating margin by 0.67 percentage points. Sequentially, expenses grew 1.40%, slower than the 1.49% revenue increase, so operating margin improved 0.07 percentage points. Other income contributed 13.72% of pre-tax profit, making it a meaningful part of reported earnings quality.
Margin has recovered for two quarters after earlier declines
Operating margin fell from 20.35% in Q2FY26 to 19.79% in Q3FY26 and 19.40% in Q4FY26, before recovering to 19.61% in Q1FY27 and 19.68% now. The margin remains above the 11.42% median of 287 Consumer Discretionary peers that have reported, with an 8.26 percentage-point lead.
The current market reaction is still too fresh to assess
Across the last eight result sessions, the stock rose four times and fell four times, with a median absolute move of 3.29%. That history shows a mixed response rather than a consistent direction; the current quarter has not yet produced a reaction to compare with it.
Q2FY27 at a glance
Consolidated figures as filed with NSE — cross-checked against an independent source.
| Line item | Q2FY27 | Q1FY27 | QoQ | YoY |
|---|---|---|---|---|
| Revenue | ₹2,608 cr | ₹2,570 cr | +1.49% | +11.44% |
| Other income | ₹22 cr | ₹23 cr | -2.28% | +26.36% |
| Expenses | ₹2,095 cr | ₹2,066 cr | +1.40% | +12.38% |
| Operating profit | ₹513 cr | ₹504 cr | +1.84% | +7.76% |
| Operating margin (%) | 19.68% | 19.61% | — | — |
| Interest | ₹112 cr | ₹120 cr | -6.99% | +5.82% |
| Depreciation | ₹261 cr | ₹255 cr | +2.49% | +13.49% |
| Profit before tax | ₹162 cr | ₹151 cr | +7.14% | +2.76% |
| Tax | ₹48 cr | ₹48 cr | +0.19% | +0.73% |
| Net profit | ₹112 cr | ₹100 cr | +11.56% | -42.66% |
| EPS (₹) | ₹1.64 | ₹1.47 | +11.56% | -41.84% |
Operating margin of 19.68% compares with a Consumer Discretionary sector median of 11.42% across 287 peers that have reported Q2FY27.
What to watch
- Whether expense growth remains below revenue growth after the year-on-year gap of 12.38% versus 11.44%.
- Whether operating margin holds above 19.68% after recovering for two consecutive quarters.
- Whether other income remains near its 13.72% share of pre-tax profit.