Restaurant Brands Asia Ltd — Q4 FY26 earnings call
Summary generated by AI from the official transcript Restaurant Brands Asia Ltd filed with BSE on 19 May 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
Restaurant Brands Asia reported Q4 FY26 same-store sales growth of 6.3%, the highest in 12 quarters, with full-year revenue of INR2,271 crores and restaurant EBITDA margin of 11.6%. Management said the India business improved gross margin to 70% for the quarter and company EBITDA to 5.8% for FY26, while the Indonesia business showed a turnaround in Burger King but continued losses in Popeyes leading to an impairment. The company also discussed the pending acquisition by Inspira Global, awaiting CCI approval, after which a revised outlook would be shared.
Numbers mentioned
Same-store sales growth (SSSG): 6.3% (Q4 FY26)
p. 3
“So if you look at our fourth quarter, we ended the fourth quarter with a 6.3% SSSG growth, which is the highest that we have achieved in the last 12 quarters, and that momentum continues.”
Rajeev Varman, page 3 of the filed PDF · View the filing
Digital order share: 91%
p. 4
“91% of all our orders are now digital, which gives us a significant control on not only the cash elements of our business but also the consumer element of our business.”
Rajeev Varman, page 4 of the filed PDF · View the filing
CRM monthly active user growth: 51% (over previous year)
p. 4
“51% growth in monthly active users over the previous year when it comes to our CRM program.”
Rajeev Varman, page 4 of the filed PDF · View the filing
Total revenue: INR2,271 crores (FY26)
p. 8
“We got to a total revenue of INR2,271 crores for the full year, with the restaurant EBITDA of 11.6%, literally doubling over the last 5 years.”
Sumit Zaveri, page 8 of the filed PDF · View the filing
Restaurant EBITDA margin: 11.6% (FY26)
p. 8
“We got to a total revenue of INR2,271 crores for the full year, with the restaurant EBITDA of 11.6%, literally doubling over the last 5 years.”
Sumit Zaveri, page 8 of the filed PDF · View the filing
Company EBITDA margin: 5.8% (FY26)
p. 8
“We've got to 5.8% in FY26.”
Sumit Zaveri, page 8 of the filed PDF · View the filing
Gross margin: 70% (Q4 FY26)
p. 7
“We ended the year with a gross margin at 69%. And happy to share that for the quarter, we were at 70%, which is the exit that we have as far as gross margin is concerned”
Sumit Zaveri, page 7 of the filed PDF · View the filing
Full year SSSG: 4% (FY26)
p. 8
“We've ended the year at a 4% SSSG and starting to kind of show improvements in our SSSG growth over these last 2 quarters as well.”
Sumit Zaveri, page 8 of the filed PDF · View the filing
Net new stores opened: 68 stores (FY26)
p. 10
“This year, we've opened a net of 68 stores, which is within our guidance range of opening 60 to 80 restaurants every year.”
Gaurav Ajjan, page 10 of the filed PDF · View the filing
Absolute restaurant EBITDA: INR264 crores (FY26)
p. 10
“Our absolute restaurant EBITDA number is more than 5x of FY22 at INR264 crores.”
Gaurav Ajjan, page 10 of the filed PDF · View the filing
Corporate EBITDA: INR132 crores (FY26)
p. 10
“We swung from a loss of INR14 crores in FY22 to INR132 crores EBITDA for this financial year.”
Gaurav Ajjan, page 10 of the filed PDF · View the filing
Indonesia Burger King store-level EBITDA: IDR8 billion (FY26)
p. 9
“We did report positive store-level EBITDA of IDR8 billion for the full year in FY26, even quarter 4 was positive.”
Sumit Zaveri, page 9 of the filed PDF · View the filing
Indonesia Burger King gross margin: 59.2% (Q4 FY26)
p. 9
“a clear shift in gross margins that we achieved in quarter 4 at 59.2% is some of the reflection of the work that the team in Indonesia has been able to achieve.”
Sumit Zaveri, page 9 of the filed PDF · View the filing
Popeyes Indonesia loss: IDR25 billion (FY26)
p. 9
“We did lose more money than what we had lost earlier years, it stood at IDR25 billion and that became -- so while we saw a big shift on BK, we really kind of lost the benefits of BK on the Popeyes side of the business.”
Sumit Zaveri, page 9 of the filed PDF · View the filing
Indonesia consolidated store EBITDA: negative IDR17 billion (FY26)
p. 9
“Indonesia on a consolidated basis resultantly reported a negative store EBITDA of IDR17 billion and a company EBITDA of IDR100 million.”
Sumit Zaveri, page 9 of the filed PDF · View the filing
Cash on balance sheet: INR190 crores (as at March)
p. 12
“So yes, we are -- firstly, we still have cash on our balance sheet, around INR190 crores as we speak, as at March there.”
Sumit Zaveri, page 12 of the filed PDF · View the filing
Cash from operations: INR132 crores (FY26)
p. 12
“Secondly, you've seen that we've only been growing cash from operations, INR99 crores to INR132 crores this year.”
Sumit Zaveri, page 12 of the filed PDF · View the filing
Cash generated in the quarter: INR40 crores (Q4 FY26)
p. 12
“As you've seen also for the quarter, we generated INR40 crores of cash for the quarter as well.”
Sumit Zaveri, page 12 of the filed PDF · View the filing
Impairment on Indonesia business: INR120 crores (Q4 FY26)
p. 13
“Over to Sumit on the impairment of INR120 crores and the INR20 crores that we funneled in preferential shares.”
Rajeev Varman, page 13 of the filed PDF · View the filing
Preferential share infusion into Indonesia: INR20 crores (April '26)
p. 12
“So if I see the current results, you have done INR120 crores of impairment for this quarter. And simultaneously, you have also infused about INR20 crores in April '26, via preferential shares.”
Rushabh Sharedalal, page 12 of the filed PDF · View the filing
3-year dine-in traffic growth: 18% (last 3 years)
p. 3
“In fact, in the last 3 years, we have grown traffic in our dine-in business by 18%.”
Rajeev Varman, page 3 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
Café ADS per restaurant per day — INR25,000 · next 4-5 years
stated as an aspiration by Rajeev Varman
p. 11
“Our ambition is over the next 4, 5 years, to get that volume to come somewhere close to INR25,000 per restaurant per day.”
Rajeev Varman, page 11 of the filed PDF · View the filing
Free cash flow — free cash flow neutral · next 6 to 8 quarters
stated as an aspiration by Sumit Zaveri
p. 12
“We are working towards getting to free cash flow neutral over the next 6 to 8 quarters.”
Sumit Zaveri, page 12 of the filed PDF · View the filing
Free cash flow — free cash flow positive · next 4 to 6 quarters
stated conditionally by Sumit Zaveri
p. 12
“So we believe that we are on track to be able to get to free cash flow over the next 4 to 6 quarters.”
Sumit Zaveri, page 12 of the filed PDF · View the filing
Store openings — 60 to 80 restaurants annually · annual
stated firmly by Gaurav Ajjan
p. 10
“This year, we've opened a net of 68 stores, which is within our guidance range of opening 60 to 80 restaurants every year.”
Gaurav Ajjan, page 10 of the filed PDF · View the filing
Indonesia Burger King G&A coverage — another 4 quarters
stated conditionally by Sumit Zaveri
p. 14
“We believe that it still has -- from the current trends that we are seeing as far as Burger King is concerned, it still is at least around -- again, here also, we feel that it's at least another 4 quarters away for the Burger King side of the business to be able to start recovering for its own G&A.”
Sumit Zaveri, page 14 of the filed PDF · View the filing
Indonesia delivery volumes — 7 million to 7.5 million
stated as an aspiration by Rajeev Varman
p. 18
“The focus over there will now be to make sure that the delivery volumes that are sitting at about a 6.1 million climb to about 7 million, 7.5 million at that kind of volume and with the current dine-in BK sales, I think that's a massive improvement you will see in restaurant-level EBITDA.”
Rajeev Varman, page 18 of the filed PDF · View the filing
Indonesia G&A coverage from restaurant margins — year following the current year
stated as an aspiration by Rajeev Varman
p. 18
“And hopefully, we will see towards, not this current year, but the year following that, we will probably be able to cover the G&A with the margins coming out of the restaurant.”
Rajeev Varman, page 18 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
Management said mature Café stores are performing well above average, while new store additions have pulled down the blended ADS figure, and reiterated a long-term target.
Answered by Rajeev Varman
Asked by Devanshu Bansal: How has Café ADS trended across mature stores versus new stores?
p. 11
“If you look at the cohort and if you look back at the restaurants that we converted to Café in the initial period, those are way above the average and continue to grow.”
Rajeev Varman, page 11 of the filed PDF · View the filing
Management confirmed cash usage but pointed to growing operating cash flow and targeted free cash flow generation within a few years, agreeing FY28 should be free cash flow positive.
Answered by Sumit Zaveri
Asked by Devanshu Bansal: How should investors think about cash consumption this year and the path to free cash flow?
p. 12
“That -- Devanshu, you're absolutely right, that's the target that we have, and that's what we are working towards as far as India part of the business is concerned.”
Sumit Zaveri, page 12 of the filed PDF · View the filing
Management said the impairment came from a discounted cash flow valuation done at the balance sheet date and stated they believe they have fully provided for what was required.
Answered by Sumit Zaveri
Asked by Rushabh Sharedalal: What drove the INR120 crore Indonesia impairment and is further impairment likely?
p. 14
“We believe that this is the requirement of the provision that we had as of the balance sheet. And as we speak today, we believe that we've kind of fully provided for what was required to be provided on the balance sheet.”
Sumit Zaveri, page 14 of the filed PDF · View the filing
Management said the businesses are run separately, the deal is not yet closed, and there are no discussions of any merger or combination at this stage.
Answered by Rajeev Varman
Asked by Rushabh Sharedalal: Is there any plan to merge or combine operations with Lenexis Foodworks (Chinese Wok) under the new promoter?
p. 15
“There's no -- none of that on any of the merger of -- they're very different businesses, and they're in different life cycles as well. So there's zero conversations right now of any of what you have asked.”
Rajeev Varman, page 15 of the filed PDF · View the filing
Management described a shift to electric broilers and fryers, cutting consumption, and converting some restaurants from LPG to PNG, while stating no restaurants had been closed due to the crisis.
Answered by Rajeev Varman
Asked by Kaushal: How is the company addressing the LNG/LPG supply crisis affecting cooking equipment?
p. 16
“I can tell you that we have not closed any restaurants for a day or any tenure longer in this crisis period.”
Rajeev Varman, page 16 of the filed PDF · View the filing
Management said both product mix (premium items, ancillary high-margin products) and supply chain/cluster sourcing strategy contributed jointly to the gross margin gains.
Answered by Rajeev Varman
Asked by Anuj D: How much of the gross margin expansion came from product mix versus sourcing efficiencies?
p. 17
“Product mix, Kapil spoke about building the premium layer and that comes at a higher APC and a higher at least rupees gross margin.”
Rajeev Varman, page 17 of the filed PDF · View the filing
Risks flagged
Popeyes Indonesia business continues to lose money and lacks scale to become viable without significant capital
p. 5
“That business is struggling, and there's reasons for it because with a small portfolio like that, we have no ways to -- unless there's a significant capital commitment there to move that business to -- from 25 to several hundred restaurants, the path becomes very, very difficult.”
Rajeev Varman, page 5 of the filed PDF · View the filing
Popeyes Indonesia losses increased year-on-year, offsetting gains from Burger King Indonesia turnaround
p. 9
“We did lose more money than what we had lost earlier years, it stood at IDR25 billion and that became -- so while we saw a big shift on BK, we really kind of lost the benefits of BK on the Popeyes side of the business.”
Sumit Zaveri, page 9 of the filed PDF · View the filing
LPG/LNG supply crisis affecting some restaurants' cooking operations
p. 16
“It's the LPG restaurants that have had a challenge.”
Rajeev Varman, page 16 of the filed PDF · View the filing
Indonesia remains a tough, unfriendly market that has taken years to show improvement
p. 18
“Hopefully, we can get some kind of a time line picture to you as you can appreciate that while we all want to solve it very quickly, these things do take time because it's not a market that has been friendly for the last few years.”
Rajeev Varman, page 18 of the filed PDF · View the filing
Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.