KFC Operator Devyani International Q4 results: Net loss at ₹49 crore, revenue up 39%

In its earnings report for the quarter and financial year ended March 31, 2024, the operator of KFC and Pizza Hut stores in India reported a consolidated net loss of ₹49 crore for the quarter ending on March 2024, as compared to a profit after tax (PAT) of ₹59.9 crore in the same period last year. The company had reported a net profit of ₹5.1 crore in the preceding quarter.

The topline numbers, however, made a healthy double-digit jump in the March quarter, with consolidated revenue from operations jumping 39% on a year-on-year (YoY) basis to ₹1,047.1 crore from ₹755 crore in the final quarter of the previous financial year.

Its total income also increased in tandem, rising 38.6% YoY to ₹1,061.7 crore from ₹766 crore in the year-ago period.

On the operating front, Devyani International’s earnings before interest, taxes, depreciation, and amortization (EBITDA) rose 15% to ₹173.9 crore in Q4 FY24 from ₹151.3 crore in the year-ago period, while also rising sequentially from ₹146.3 crore in the December quarter.

The QSR major’s EBITDA margin contracted to 16.6% in the quarter under review as opposed to 20% in the corresponding quarter of the previous fiscal year, and from 17.4% in Q3FY24.

Shares of Devyani international dropped as much as 3.63% to an intraday low of ₹149.7 apiece on the NSE. However, the stock recovered some of its losses to trade 1% higher at ₹157 apiece.

Commenting on the results, the Non-Executive Chairman of Devyani International, Ravi Jaipuria, said, “In 2024, we have diligently focused on our strategic expansion goals. Over the course of the year, we opened 256 new stores, including 47 in the fourth quarter. As of March 31, our total store count has reached 1,782, including the 283 KFC stores we acquired in Thailand on January 18, 2024".