Sapphire Foods India Q4 FY25 Results: Net Profit Flat, Revenue Rises 12.6%
Sapphire Foods India has reported its Q4 FY25 results, with net profit remaining flat at ₹2.02 crore, while revenue grew by 12.6% to ₹711.34 crore.
Key Highlights:
Sapphire Foods India Q4 FY25 Results: Net Profit Flat, Revenue Rises 12.6%
Sapphire Foods India, one of the largest franchise operators of KFC and Pizza Hut in India, has announced its Q4 FY25 results, revealing a mixed financial performance. While the company’s net profit remained flat at ₹2.02 crore, revenue grew by 12.6% year-on-year (YoY) to ₹711.34 crore, up from ₹631.70 crore in the same period last year.
Despite a healthy rise in revenue, the company’s profitability was impacted by rising operating costs, leading to a decline in EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) by 5.2% to ₹106 crore.
Key Financial Highlights of Sapphire Foods India Q4 FY25
- Net Profit: ₹2.02 crore, flat YoY.
- Revenue: ₹711.34 crore, up 12.6% YoY.
- EBITDA: ₹106 crore, down 5.2% YoY.
- Same-Store Sales Growth (SSSG):
- KFC: 1% decline.
- Pizza Hut: 1% growth.
- Restaurant Expansion: Added 6 new KFC outlets, bringing the total count to 963 as of March 31, 2025.
Factors Influencing Sapphire Foods’ Q4 FY25 Performance
Several factors contributed to Sapphire Foods’ financial performance in Q4 FY25:
- Rising Operating Costs: Despite revenue growth, the company faced margin pressure due to increased input costs and operating expenses.
- Mixed Same-Store Sales Growth (SSSG): KFC reported a 1% decline in SSSG, while Pizza Hut saw a marginal 1% growth, reflecting varying consumer demand.
- Restaurant Expansion: The addition of six new KFC outlets contributed to overall revenue growth.
- Consumer Preferences: The company’s focus on popular quick-service restaurant (QSR) brands like KFC and Pizza Hut continued to drive sales.
Sapphire Foods Share Price Reaction
Following the announcement of the Q4 FY25 results, Sapphire Foods India share price saw a decline of approximately 5% in intraday trading, reflecting investor concerns over the flat net profit and declining EBITDA.
Investors were particularly cautious about the company’s ability to maintain profitability amid rising costs. Market analysts will closely monitor the company’s management commentary on cost control measures and future growth strategies.
What Lies Ahead for Sapphire Foods India
Looking forward, Sapphire Foods India may focus on several key strategies to drive growth and profitability:
- Expanding Store Network: Continuing to open new KFC and Pizza Hut outlets across India and neighboring regions.
- Enhancing Digital Sales: Strengthening its online ordering and delivery platforms to capture digital-savvy customers.
- Menu Innovation: Introducing new menu offerings to attract a wider customer base.
- Cost Control Initiatives: Implementing efficient cost management measures to protect margins.
Investors will be keenly watching how the company balances growth with profitability in the coming quarters, especially in the highly competitive quick-service restaurant sector.
Stay updated with the latest from Hindustan Herald — your trusted source for
Politics, Business, Sports, Entertainment, Lifestyle, Breaking News, and More.
📲 Follow us on Facebook, Instagram, Twitter, LinkedIn, and YouTube
🔔 Join our Telegram channel @hindustanherald
