Latest news with #RestaurantBrandsAsia
Business Standard
20-05-2025
- Business
- Business Standard
Restaurant Brands Asia rallies as Q4 net loss narrows to Rs 60 crore
Restaurant Brands Asia zoomed 4.60% to Rs 85.43 after the company's consolidated net loss reduced to Rs 60.44 crore in Q4 FY25 from a net loss of Rs 92.09 crore posted in Q4 FY24. However, revenue from operations advanced 5.92% YoY to Rs 632.55 crore in Q4 FY25. Total expenses grew by 1% YoY to Rs 700.82 crore during the quarter. Employee benefit expenses was at Rs 108.98 crore (up 1.74% YoY) while cost of material consumed stood at Rs 219.64 crore (up 2.83% YoY). Earnings before interest, tax, depreciation and amortization (EBITDA) for the quarter stood at Rs 74.90 crore in Q4 FY25, registering a growth of 36% year-on-year. The EBITDA margin improved by 2.8% to 15.3% in Q4 FY25, compared to the same quarter in the previous year. The company's revenue from India stood at Rs 489.77 crore (up 11.54% YoY). Same-store sales grew 5.1%, driven by a strong focus on value offerings. The company expanded its footprint in India to 513 restaurants, adding 58 outlets compared to the same period last year. Additionally, it added 113 BK Caf across existing and new stores, bringing the total cafcount to 464. Revenue from Indonesia was at Rs 142.78 crore (down 9.67% on YoY) during the period under review. Rajeev Varman, whole-time director and group chief executive officer of RBA commented, "I am proud of the efforts of our teams who helped drive growth in sales and another quarter of improved profitability. We have introduced attractive value offerings that helped our performance, especially in dine-in traffic and sales. We aim to leverage our strong customer value proposition and stride ahead with our restaurant growth strategy. From a development standpoint, we will continue to expand our footprint across the country and increase our Burger King restaurants in India from 513 to around 800 by FY29. Restaurant Brands Asia (RBA) is the national master franchisee of the Burger King brand in India. It has exclusive rights to develop, establish, operate and franchise Burger King branded restaurants across India. RBAs subsidiaries are exclusive national master franchisees of the brands Burger King and Popeyes in Indonesia.
Yahoo
20-05-2025
- Business
- Yahoo
Restaurant Brands Asia Ltd (BOM:543248) Q4 2025 Earnings Call Highlights: Strong Revenue Growth ...
Total Store Count: 513 stores at the end of FY25, with an annual growth of 58 stores. Quarterly Revenue: INR 489 crores for Q4 FY25, representing an 11.5% year-on-year growth. Full Year Revenue: INR 1,968 crores for FY25, with an 11.8% year-on-year growth. Same-Store Sales Growth (SSSG): 5.1% for Q4 FY25 and 1.1% for the full year. Company-Level EBITDA: INR 26.6 crores for Q4 FY25, up from INR 10.6 crores in the same quarter last year. Full Year EBITDA: INR 99.4 crores for FY25, a 32% increase from the previous year. Gross Margin: 67.7% for FY25, up from 67% in the previous year. Indonesia Store Count: 143 Burger King stores and 25 Popeyes stores at the end of FY25. Indonesia Revenue: INR 269.3 billion for the full year. Indonesia Same-Store Sales Growth (SSSG): Positive 2% for the full year. General & Administrative Expenses Reduction: Reduced from INR 65 crores to a run rate of INR 40 crores. Warning! GuruFocus has detected 3 Warning Sign with BOM:543248. Release Date: May 19, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Restaurant Brands Asia Ltd (BOM:543248) reported a 9% growth in dining traffic, driven by successful value campaigns. The company has expanded its cafe presence to 90% of its restaurants, up from 77% the previous year. Digital initiatives have been successful, with 90% of restaurants now equipped with self-ordering kiosks and a 3x increase in app transactions. The company achieved a 32% year-over-year growth in company-level EBITDA, reaching INR99.4 crores. In Indonesia, the company reported a positive 2% same-store sales growth for Burger King, indicating a potential turnaround in the market. Despite adding 250 to 270 stores since FY22, the average daily sales (ADS) have remained stagnant, indicating challenges in increasing per-store sales. The Indonesia business continues to face challenges, with restaurant-level pre-investment margins declining year-over-year. Inflation in beef prices and currency devaluation have negatively impacted the profitability of the Indonesia operations. The company has had to close 36 restaurants in Indonesia as part of its rationalization efforts, indicating ongoing operational challenges. There is uncertainty regarding the long-term strategic direction for the Indonesia business, with potential divestment being considered. Q: Despite adding numerous stores and cafes, why has the Average Daily Sales (ADS) remained stagnant? A: Rajeev Varman, Group CEO, explained that maintaining previous year's sales in a challenging environment is significant. The focus has been on driving profitable sales and optimizing delivery profitability, which has improved by 1%. The cafe business is new and growing, with restaurants opened in FY23 and FY24 showing incremental ADS growth. The strategy includes spreading out restaurant openings to capture more sales earlier. Q: What is the strategy to increase Average Per Customer (APC) values to boost ADS? A: Rajeev Varman stated that while traffic remains a key focus, there is a strategic plan to address APC values, which will be evident in upcoming initiatives. Innovation and continued traffic growth are central to this strategy. Q: With geopolitical tensions affecting Indonesia, what is the breakeven point, and is cash breakeven achievable this year? A: Rajeev Varman noted that positive sales trends are emerging, with dine-in ADS increasing by 10%. Cost reductions have lowered the breakeven point, and the company is working towards stopping losses, with a focus on returning to pre-geopolitical sales levels. Q: Is the recent growth in the QSR sector due to market demand or company-specific strategies? A: Rajeev Varman attributed growth to long-term strategic execution, including value propositions, cafe expansion, and innovation. The company has seen significant traffic growth over the past two years, driven by these strategies. Q: How has cost control been managed in India despite adding new stores? A: Rajeev Varman explained that various initiatives, such as utility cost reductions and self-ordering kiosks, have contributed to cost control. New restaurants take time to reach average ADS, and efficiencies are being implemented across the board. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Sign in to access your portfolio
Business Standard
20-05-2025
- Business
- Business Standard
Restaurant Brands Asia reports consolidated net loss of Rs 56.28 crore in the March 2025 quarter
Sales rise 5.93% to Rs 632.55 crore Net Loss of Restaurant Brands Asia reported to Rs 56.28 crore in the quarter ended March 2025 as against net loss of Rs 85.26 crore during the previous quarter ended March 2024. Sales rose 5.93% to Rs 632.55 crore in the quarter ended March 2025 as against Rs 597.14 crore during the previous quarter ended March 2024. For the full year,net loss reported to Rs 216.20 crore in the year ended March 2025 as against net loss of Rs 217.94 crore during the previous year ended March 2024. Sales rose 4.66% to Rs 2550.72 crore in the year ended March 2025 as against Rs 2437.06 crore during the previous year ended March 2024. Particulars Quarter Ended Year Ended Mar. 2025 Mar. 2024 % Var. Mar. 2025 Mar. 2024 % Var. Sales 632.55597.14 6 2550.722437.06 5 OPM % 11.5711.60 - 10.529.94 - PBDT 35.3126.56 33 138.69119.39 16 PBT -60.44-92.10 34 -232.79-236.74 2 NP -56.28-85.26 34 -216.20-217.94 1
Time of India
20-05-2025
- Business
- Time of India
Burger King's India operator net loss narrows to Rs 60.44 cr in Q4 FY25
New Delhi: Restaurant Brands Asia , master franchisee of the Burger King brand in India, on Monday said its consolidated net loss narrowed to Rs 60.44 crore in the fourth quarter ended March 31, 2025. The company had posted a consolidated net loss of Rs 92.1 crore in the year-ago period, Restaurant Brands Asia Ltd (RBA) said in a regulatory filing. Its consolidated revenue from operations in the quarter under review stood at Rs 632.55 crore against Rs 597.14 crore a year ago, it added. The total expenses in the fourth quarter rose to Rs 700.82 crore from Rs 693.85 crore in the corresponding period of the preceding fiscal. The company said same-store sales grew 5.1 per cent, aided by a strong focus on value offerings. It increased its footprint in India to 513 restaurants. Moreover, the company said it added 113 'BK Cafe' in its existing and new stores, taking the total cafe count to 464. For the fiscal ended March 31, 2025, its consolidated net loss was Rs 232.8 crore. It was Rs 236.74 crore in 2023-24, the company said. In FY25, the consolidated revenue from operations stood at Rs 2,550.72 crore against Rs 2,437.1 crore in FY24, it added. On the road ahead, RBA Group Chief Executive Officer Rajeev Varman said, "We aim to leverage our strong customer value proposition and stride ahead with our restaurant growth strategy". From a development standpoint, he said, "We will continue to expand our footprint across the country and increase our Burger King restaurants in India from 513 to around 800 by FY29".
Reuters
19-05-2025
- Business
- Reuters
Burger King's India operator posts smaller loss as cheaper menus draw more diners
May 19 (Reuters) - Restaurant Brands Asia ( opens new tab, the India franchisee of Burger King, reported a narrower fourth-quarter loss on Monday, as its affordable menu appealed to cost-conscious customers. The company reported a net loss of 562.8 million rupees ($6.6 million) for the three months ended March 31, compared with a loss of 852.60 million rupees a year earlier. Indian operators of U.S. chains such as Pizza Hut, KFC, McDonald's (MCD.N), opens new tab and Burger King ( opens new tab face a double blow, as they grapple not only with stiff competition from local rivals but also shrinking consumer spending due to high living costs and slow wage growth. To counter this, they have relied on cheaper menu options to draw in diners. In the last quarter, Restaurant Brands Asia introduced deals such as a bundle of two vegetarian burgers at 79 rupees and two chicken burgers at 99 rupees. Such efforts helped its overall revenue climb nearly 6% to 6.33 billion rupees. Same-store sales at Burger King restaurants across India increased 5.1%, led by a growth in dine-in traffic. Cheaper menu items also helped McDonald's franchisee Westlife Foodworld ( opens new tab double its profit last quarter, although KFC and Pizza Hut franchisee Sapphire Food India ( opens new tab flagged a longer road to recovery, pressured by competition from delivery-focused Domino's, operated by Jubilant FoodWorks ( opens new tab. Restaurant Brands Asia, however, has slowed its new store openings. It added just three new stores last quarter, out of a total of 58 for the April-March fiscal year. It continues to focus on keeping diners through such efforts as last month's limited-time "Korean Spicy Fest" menu, which included burgers, chicken wings and fries, to cash in on the buzz around K-culture. ($1 = 85.3820 Indian rupees)
