Financial Performance Overview
Restaurant Brands Asia Limited reported mixed FY26 results with consolidated revenue growth of 10.7% to ₹28,226.40 million but widening net loss of ₹2,041.28 million compared to ₹2,327.94 million in FY25. Company EBITDA showed strong growth of 24.6% to ₹3,411 million, while pre-Ind AS 116 Company EBITDA surged 102.8% to ₹750 million.
Operational Highlights
India business demonstrated robust performance with revenue growth of 15.45% to ₹22,717.23 million, achieving 4.0% same-store sales growth and crossing the 70% gross margin target in Q4. The network expanded by 68 restaurants to reach 581 stores, with digital orders reaching 91% penetration and monthly active app users growing 51%. Indonesia operations showed mixed results with Burger King ADS growing 2.8% to IDR 18.6 million but overall revenue declining to ₹5,509 million.
Capital Structure and Strategic Transaction
Post-year end, Lenexis Foodworks Private Limited acquired control through a ₹1,500 crore capital infusion involving 12.86 crore equity shares at ₹70 per share and 8.57 crore warrants. This represents one of the largest transactions in the Indian QSR segment. The company also extended Burger King master franchise agreements for India and Indonesia to 2050, providing long-term operational visibility.
Impairment and Exceptional Items
The company recorded a significant impairment provision of ₹1,200 million for its investment in PT Sari Burger Indonesia due to continued underperformance. Additionally, ₹22.52 million in exceptional items were recognized related to the implementation of new Labor Codes 2025, which amended the definition of wages.
Liquidity and Financing Position
Cash reserves declined sharply to ₹306.16 million from ₹5,342.52 million due to operational losses and substantial investing activities. The company raised ₹500 crore through QIP in March 2025, utilized for debt repayment (₹720 million), capex (₹1,897 million), and general corporate purposes. Total borrowings stood at ₹2,698.54 million with various banking facilities.
Tax and Deferred Assets
The company cannot recognize deferred tax assets of ₹859.33 million on carried forward losses of ₹2,470.49 million due to lack of taxable temporary differences. Similarly, subsidiary BK Indonesia cannot recognize ₹1,268.35 million in deferred tax assets on ₹5,765.24 million of unused business losses.
Corporate Governance and Leadership Changes
Significant board changes occurred with Mr. Madhusudan Bhagwandas Agrawal appointed Chairman and Mr. Aayush Madhusudan Agrawal as Non-Executive Director following the acquisition. Mr. Arijit Datta was appointed Chief Financial Officer in October 2025. The company received Great Place to Work certification with women employees representing 36.4% of the workforce.
Outlook and Market Position
The Indian food services market is expected to grow from ₹5,717 billion in FY25 to ₹9,688 billion by FY30, with organized QSR expanding from ₹787 billion to ₹1,864 billion. The company plans continued expansion of 60-80 restaurants annually and aims to enhance digital engagement, retention, and frequency beyond current high adoption rates.