Restaurant Brands Asia (RBA) Q1 25/26 earnings summary

Executive summary

• India business delivered 12.6% revenue growth year-over-year, with SSSG of 2.6% and 63 net new restaurants added, reaching INR 5,523 million in revenue for the quarter.

• Restaurant EBITDA in India rose 23% year-over-year to INR 536 million, and company EBITDA increased 28.6% to INR 225 million.

• Indonesia's Burger King business achieved positive store-level EBITDA for the first time in several quarters, with ADS up 5% year-over-year and continued portfolio rationalization.

• Popeyes Indonesia remains challenged, with declining ADS, but a new fast-casual strategy is being piloted to improve performance.

• Board approved unaudited standalone and consolidated financial results for the quarter ended June 30, 2025, with continued losses at both levels.

Financial highlights

• India revenue from operations grew 12.6% YoY to INR 5,523 million, with SSSG at 2.6%.

• India restaurant EBITDA margin improved by 0.8 percentage points year-over-year to 9.7%, driven by cost efficiencies.

• Indonesia revenue declined 7.3% YoY to IDR 280.2 billion due to store closures; company EBITDA loss narrowed to IDR (20.5) billion.

• Consolidated revenue from operations reached ₹6,977.23 million, compared to ₹6,466.86 million year-over-year.

• Standalone net loss for the quarter was ₹115.69 million, improving from a loss of ₹269.45 million in the same quarter last year.

Outlook and guidance

• India to continue adding 60–80 restaurants annually, targeting approximately 800 by FY 2029 and ~70% gross profit margin.

• Indonesia to continue rationalizing store portfolio and piloting new fast-casual models for Popeyes.

• Management continues to focus on expansion and operational improvements, with capital allocated for new restaurant openings in India.