Sapphire Foods India Limited — PPTs, 04-05-2026: Investor Presentation

**Business Performance:** Sapphire Foods, a YUM! franchisee, posted Q4FY26 restaurant sales of ₹789.8 Cr (+11% YoY) and full-year FY26 sales of ₹3,115.9 Cr (+8%). Q4 EBITDA grew 10% to ₹124.9 Cr (15.8% margin), though FY26 EBITDA was ₹480.4 Cr (15.4% margin), down 2% YoY. KFC India delivered strong results with ₹2,113.6 Cr revenue (+11% YoY) and 16.3% restaurant EBITDA. Sri Lanka operations also grew 18% in INR to ₹500.8 Cr. Pizza Hut India's revenue dipped 7% to ₹506.5 Cr, facing a -3.3% restaurant EBITDA. The company operates 1052 restaurants, with delivery contributing 44% of sales.

**Growth Drivers or Strategy:** Focus is on optimal capital allocation and expanding with smaller omni-channel restaurants. KFC drives growth via taste innovations, value offers (e.g., ₹99 Krisper meal), digital kiosks, and consistent expansion (60-80 stores annually). Pizza Hut aims for a differentiated dine-in experience, competitive value, and taste upgrades, with cautious expansion (no new stores in CY25). Cost optimization through zero-based budgeting and smaller footprints are also priorities.

**Recent Developments:** Sapphire Foods added a net 89 restaurants in FY26. Boards have approved a merger scheme with Devyani International, awaiting regulatory nod. The company also earned recognition as a Gallup Exceptional Workplace.

**Management Commentary / Outlook:** Management plans to sustain KFC's strong performance and improve Pizza Hut's profitability. Future Pizza Hut expansion will focus on smaller 1,000 sq ft stores for market densification.