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Quarterly ResultsCreated 10 August 20262 min read

Restaurant Brands Asia Sees Strong Revenue Growth But Remains in the Red

The Burger King operator posted robust 17.9% YoY sales growth in Q1 FY27, while its quarterly loss narrowed sequentially.

By Vinayak Gandhi, CFA

Restaurant Brands Asia reported a sharp rise in revenue for Q1 FY27, though the company continued to post a net loss. The quarterly loss, however, was smaller than the previous quarter.

Restaurant Brands Asia, the operator of Burger King restaurants in India and Indonesia, delivered a quarter of mixed financial signals. While revenue growth was robust, the company remained in the red, continuing a multi-year trend of quarterly losses. The key takeaway is a significant top-line expansion paired with a narrowing of the quarterly deficit.

The company's revenue for the quarter ended June 2026 surged to ₹822.61 crore, marking a 17.9% increase from the same period last year and a 16.4% sequential jump from the March quarter. However, the net loss for the quarter stood at ₹33 crore. While this represents a deeper loss compared to the ₹45.43 crore loss in Q1 FY26, it is a meaningful improvement from the ₹47.43 crore loss in the immediate preceding quarter (Q4 FY26). This sequential improvement helped lift the net profit margin to -4.0%, its best level in the last five quarters.

A look at the recent trajectory shows a consistent pattern of sales growth alongside persistent losses.

Revenue (₹ Cr)

Profit (₹ Cr)

Net Profit Margin (%)

MetricCurrentQ1 FY27PreviousQ4 FY26Same quarter LYQ1 FY26
Period
Quarter ended June 2026
Quarter ended March 2026
Quarter ended June 2025
Revenue (₹ Cr)
822.61YoY +18%
706.84
697.72
Profit (₹ Cr)
-33.0YoY +27%
-47.43
-45.43
Net Profit Margin (%)
-4.0YoY +38%
-6.7
-6.5

Key Points

  • The trailing twelve-month (TTM) revenue stands at ₹2,947.53 crore, with a TTM net loss of ₹191.7 crore, resulting in a TTM net profit margin of -6.5%.
  • The stock has gained 10.7% over the past year, closing at ₹87.74 on the results date, though it remains down 25.9% over a three-year period.
  • Key quality metrics reflect the ongoing challenges, with a negative Return on Equity (-25.93%) and a low current ratio of 0.5.

The improving margin trend this quarter offers a glimmer of operational progress, but the path to sustained profitability remains the critical watchpoint for the business.

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· RBA

(BSE)

ISIN: INE07T201019

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