Share prices across the segment have tumbled anywhere between 10% and 85%, signalling a phase of consolidation after years of aggressive expansion. The only exceptions are Westlife Foodworld and Jubilant FoodWorks, which have managed to serve positive returns of 20% and 9% respectively.
Losses rule September quarter earnings
Of the eight QSR companies, four—Sapphire Foods India, Restaurant Brands Asia, Devyani International, and Westlife Foodworld—have announced their September ’25 quarter results. Three of them continued to stay in the red, posting net losses for yet another quarter. However, despite a weak bottom line, all four reported healthy top-line growth year-on-year.
Defying the trend, Westlife Foodworld reported a sharp turnaround in profitability. The company’s net profit soared to Rs 27.71 crore in the September quarter, compared with just Rs 36 lakh in the same period last year, reflecting stronger operational efficiency and improved margins.
Market leaders and valuations
Jubilant FoodWorks, which operates Domino’s in India, remains the biggest company in the QSR pack with a market capitalisation of about Rs 38,000 crore. Devyani International follows at around Rs 18,000 crore.
Jubilant FoodWorks, one of the few gainers in FY26, has risen nearly 10% to Rs 577 per share. Trendlyne’s SWOT analysis gives the stock a mixed view, with weakness points slightly higher than strengths. Still, the fundamentals look solid, aided by a rising net profit and margins, consistent profit growth over the past two quarters, declining promoter pledges, and a dividend yield above the sector average.
Devyani International, on the other hand, has fallen more than 15% this fiscal. The SWOT outlook appears weak, with several pressure points: promoter stake reduction, steep fall in trailing twelve-month (TTM) profits, a swing from profit to loss, and a two-year decline in annual profit.
AgenciesBiggest Losers: United Foodbrands, Restaurant Brands Asia
United Foodbrands tops the list of laggards, with its stock crashing 85% in FY26 to Rs 198. The company’s fundamentals also look fragile, with promoters offloading stake, declining operating cash flow, two consecutive years of deteriorating net profit, and erosion in book value per share.
Restaurant Brands Asia, which manages the Burger King brand in India, is the second-biggest loser, sliding nearly 35% so far this fiscal. Interestingly, despite its price decline, the company’s SWOT profile paints a relatively optimistic picture — it scores double the number of strength points compared to weaknesses. Its improving financial metrics include low debt levels, rising quarterly revenues, two years of improving net profits, and a zero promoter pledge.
As FY26 progresses, sector watchers believe valuation corrections and operational reforms could set the stage for a potential recovery, especially for players showing improving fundamentals amid current turbulence.
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