Westlife Development soars 17% on robust Q1 results

McDonald’s is putting significant weight behind a wide spectrum of activities, which include working on healthy food options, ethically sourcing ingredients and reducing greenhouse gas emissions
Westlife Development, owner of the Master Franchisee of McDonald’s restaurants in west and south India, rose 17% to Rs 408 on the BSE in the noon deal after the company reported a consolidated net profit of Rs 116 million in June quarter (Q1FY19). It had posted a net loss of Rs 27 million in the same quarter year ago.

Total operational revenues during the quarter under review grew 30% at Rs 3,417 million against Rs 2,625 million in the corresponding quarter of previous fiscal.

“The company reported a double digit Same Store Sales Growth (SSSG) of 24.1% making it the 12th consecutive quarter of positive sales growth. Operating profit swelled 124% to Rs 355 million and operating profit margins expanded by over 430 basis points to 10.4%,” Westlife Development said in a press release.

“Innovative menu options and value products have been the centerpiece of our strategy. Not only have they attracted more customers in our restaurants and McCafés they also have been a huge successes on our delivery platform McDelivery. Our industry-leading initiatives like the Good Food story – an initiative to re-engineer our food to make it more wholesome and nutritious have also resonated extremely well with customers,” said Amit Jatia, Vice-Chairman of Westlife Development.

At 02:03 pm; the stock was trading 13% higher at Rs 393 on the BSE, as compared to 0.80% rise in the S&P BSE Sensex. The trading volumes on the counter jumped more than 10-fold with 234,000 shares changed hands so far. An average sub 25,000 equity shares were traded daily in past two weeks on the BSE, the exchange data shows.

 


Business Standard is now on Telegram.
For insightful reports and views on business, markets, politics and other issues, subscribe to our official Telegram channel