New Delhi– Sapphire Foods India Ltd, the franchise operator for KFC and Pizza Hut in India and Sri Lanka, reported a 25% year-on-year decline in net profit for Q4 FY24, posting ₹17.91 crore versus ₹23.9 crore a year earlier.
This drop in profitability came despite a 13% rise in revenue to ₹711 crore, largely fueled by strong performance from KFC India and Pizza Hut Sri Lanka.
While topline growth remained healthy, margins were under pressure:
- Restaurant EBITDA slipped 1% YoY with a 12% margin
- Adjusted EBITDA declined 7% to ₹50.8 crore (7.2% margin)
- Consolidated EBITDA rose 3% to ₹113.3 crore, though margin fell by 150 bps to 16%
- Adjusted PAT stood at just ₹3.3 crore (0.5% margin)
Key Business Updates:
- KFC India: Added 6 new outlets; total count now at 963
- Pizza Hut India: Faced margin compression; added 15 new stores, taking the total to 334
- Sri Lanka Operations: Delivered standout performance with 16% same-store sales growth and a 250 bps jump in EBITDA margin to 14.8%; local sales rose 19% YoY (31% in INR terms)
Despite headwinds in India, especially in the Pizza Hut segment, Sapphire Foods continues to prioritize expansion and operational resilience, buoyed by strong international performance. (Source: IANS)
