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Indian quick-service chains saw sales recover in the September quarter as cheap deals drew diners back. Burger King and McDonald's operators reported double-digit growth at existing outlets, while Pizza Hut sales kept falling. Rising costs for gas, power, wages and ingredients are squeezing margins, so chains are leaning on bargains rather than passing the full burden to customers.
India's antitrust regulator, the CCI, has cleared the combination of Sapphire Foods India and Devyani International, which would bring KFC and Pizza Hut franchise operations under one structure. Devyani confirmed the clearance in an exchange filing and said it is awaiting the detailed order. Other statutory steps remain before the merger takes effect.
India's Competition Commission has cleared the merger of Sapphire Foods India into Devyani International. Devyani runs KFC and Pizza Hut franchises in India and is the exclusive Costa Coffee franchisee there. Sapphire runs over 700 outlets under KFC, Pizza Hut and Taco Bell brands across India, Sri Lanka and the Maldives. The tie-up could improve coordination and support expansion.
Devyani International posted a net profit of Rs 3.46 crore in the September quarter, against a loss of 23.9 crore a year earlier. Revenue rose 10.36 per cent to Rs 1,519.42 crore, while EBITDA grew nearly 18 per cent to Rs 229 crore. It runs KFC, Pizza Hut and Costa Coffee, and added 70 net stores, reaching 2,325 globally.
K Riju Nair has been appointed brand head of Bombay Brasserie, the modern Indian brasserie run by Charcoal Concepts. Nair will lead expansion toward over 41 restaurants over the next eight years and oversee Bombay Brasserie 2.0, which debuts at a designated outlet first. Nair brings 26 years of experience, including roles at Pizza Hut UK and Yum India.
Sapphire Foods, which runs KFC and Pizza Hut, added 15 KFC outlets in Q2 FY27, reaching 1,086 restaurants. Restaurant sales rose 20 percent to Rs 885.3 crore. KFC revenue grew 26 percent, its fastest in 16 quarters, helped by value offers, while Pizza Hut rose 7 percent. Adjusted EBITDA climbed 39 percent to Rs 62.4 crore.
