Devyani International Q2FY26 Revenue Rises 12.6% YoY to ₹1,376.7 Crore; Margins Impacted by Skygate Consolidation

Gurugram, November 6, 2025 – Devyani International Ltd (NSE: DEVYANI, BSE: 543330), India’s largest franchisee of Yum! Brands, reported a 12.6% year-on-year rise in consolidated revenue from operations to ₹1,376.7 crore for the quarter ended September 30, 2025 (Q2FY26), supported by steady growth across its domestic and international businesses. However, profitability was weighed down by integration costs related to the Skygate portfolio.

Key Financial Highlights

The company generated ₹1,376.7 crore in revenue from operations during the quarter. This marked a 12.6% YoY increase from ₹1,222.1 crore. However, the company’s margin stood at 67.8%. This marked a 150 bps YoY decline, increasing from 69.3% in Q2FY25. The reported EBITDA fell to ₹194.3 crore, a 2.2% YoY decline. Even the EBITDA margin decreased to 14.1% from 16.3% in Q2FY25. The losses extended to PAT, which reached ₹(23.9) crore.

Segment Performace

The various segments had similar financial results individually. KFC India revenue grew 5.3% YoY to ₹572.3 crore. However, Pizza Hut India remained flat at ₹186 crore. The company’s international business recorded strong momentum. Its revenues increased14% YoY to ₹449.5 crore. This was aided by solid performances in Thailand and Nepal. Further, operating EBITDA (pre-IndAS) stood at ₹93.4 crore. While the margins were at 6.8%. The Skygate consolidation impacted reported EBITDA margins by nearly 100 basis points.

Store and Brand Expansion

The company has opened several new units during the quarter. This has increased the total number of units the brand has as of September 30, 2025. It opened 30 KFC units, bringing the total to 734. Similarly, 3 for Pizza Hut, bringing the total to 621. 2 for its Franchisee Brands, which now totals 224. And 4 for its international brands, which now total 382. In total, 39 new units were opened across the band during Q2FY26. So now, as of September 30, 2025, the company has 2,184 stores. Furthermore, the company’s own brand portfolio has continued to strengthen its presence. This includes Biryani by Kilo, Goila Butter Chicken, and Vaango. The growth has stretched post the festive period. This is due to strong customer traction and innovative campaigns.

Market Snapshot

The shares of Devyani International Limited closed at ₹155.79 on November 06, 2025. This is a 2.18% or ₹3.48 decrease from its previous close of ₹159.27. The intraday range was between ₹155.20 and ₹160.70. The company has had a decent trading session. Its total market capitalisation stood at ₹19,206.92 crore. Further, it had total traded value and volume of ₹44.16 crore and 28.04 lakh shares, respectively.

Devyani International Ltd (DIL)is the largest franchisee of Yum! Brands in India. The company is managing brands such as KFC, Pizza Hut, and Costa Coffee. The company also has its own labels like Vaango, Biryani By Kilo, and Goila Butter Chicken. It operates over 2,000 stores across 280 cities in India, Nepal, Nigeria, and Thailand. The company is listed on the NSE and BSE under the ticker DEVYANI and 543330, respectively.

REF: https://nsearchives.nseindia.com/corporate/DEVYANI_06112025123321_SE_Intimation_Investor_Presentation_06112025sd.pdf

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