India · Delayed Price · Currency is INR United Foodbrands Earnings Call Transcripts
Fiscal Year 2026
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Q3 FY26 saw record revenue and 8.2% SSSG, with strong growth across all segments and improved margins. Strategic investments in marketing and value offers are driving sustained transaction growth, with guidance reaffirmed for margin recovery and continued expansion.
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Q2 FY26 saw modest revenue growth and a return to positive SSSG, driven by transaction gains and strong international and premium segment performance. Margins were pressured by value offers and higher food costs, but cost control and expansion continue, with cautious optimism for H2.
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Revenue declined 2.8% YoY due to negative SSSG in Barbeque Nation India, but international and premium CDR segments showed strong growth and margins. Expansion continues with a focus on cost control, guest experience, and prudent capital allocation, despite ongoing challenges in the core business.
Fiscal Year 2025
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FY25 revenue declined 1.7% to INR 1,233 crores, with profitability maintained and EBITDA margin at 17.1%. International and premium CDR segments grew, while India SSSG remained negative but is gradually improving. Expansion plans target 300-325 restaurants by FY27.
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Revenue remained flat YoY at INR 328.9 crores, with dining down 2% and delivery up 9%. Margins were stable despite a -2% SSSG, and expansion continues with a focus on operational efficiency and selective investments like Willow Gourmet. Net debt is low and cash flows remain robust.
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Q2 FY25 revenue grew 1.3% year-over-year to INR 306 crores, with margins improving despite a -2.5% SSSG. Expansion plans remain on track, targeting 100 new restaurants by FY27, funded by internal cash flows, while gross margins are expected to sustain at 68%.
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Q1 FY25 saw revenue decline 5.6% year-over-year due to negative SSSG, but margins improved with gross margin up 400 bps and operating EBITDA rising 8.8%. Premium brands outperformed, and sequential SSSG trends are improving, with 100 new stores targeted by FY27.