Mumbai, India — April 28, 2026
Quick-service restaurant operator Sapphire Foods India Limited reported mixed financial results for the fourth quarter of fiscal year 2025–26, posting strong operational growth but slipping into a net loss due to one-time expenses.
The company reported a consolidated net loss of ₹12.6 crore, compared with a profit of ₹2 crore in the same quarter last year.
Revenue and Operating Performance Improve
Despite the loss, Sapphire Foods delivered solid operational growth:
- Revenue from operations rose 11% to ₹792 crore, up from ₹711 crore a year earlier
- EBITDA increased 17% to ₹124 crore, compared with ₹106 crore last year
- EBITDA margin improved to 15.7%, from 14.9%
The results indicate continued strength in core operations and improved efficiency.
One-Time Costs Impact Profitability
The decline in profitability was primarily due to ₹12.8 crore in exceptional items, linked to the implementation of new labor codes and costs associated with the proposed merger with Devyani International Limited.
Segment Performance Mixed
Performance across business segments showed divergence:
- KFC India emerged as the top performer, with 15% revenue growth
- Pizza Hut India reported a 6% decline in revenue, weighing on overall performance
Market Reaction
Shares of Sapphire Foods declined following the results, falling 4.96% on the National Stock Exchange (NSE) to close at ₹174.30, reflecting investor concerns over the reported loss.
